Malaysian Prime Minister in Budget 2010 announced the following Tax Incentives for promoting Green Building Construction:
a) Buildings owners awarded the Green Building Index (GBI) certificate will be given tax exemption equivalent to 100% of the additional capital expenditure incurred to obtain the GBI certificate. The exemption is allowed to be set-off against 100% of the statutory income for each assessment year.
Applicability:
- For buildings awarded the certificate from 24 October 2009 until 31 December 2014
- New Buildings and upgrading of existing buildings
- Only for the first GBI certificate issued w.r.t. the building
Example:
Basic Building Cost = RM 100 mil
Building Cost to Achieve GBI Certification = RM 108 mil
GBI Green Cost Component = RM 8 mil
(This sum is valued by Quantity Surveyor and certified by Architect based on list of GBI Green Cost items*, submitted as part of CVA and checked by the GBI Certifier)
b) Buyers of buildings and residential properties awarded GBI certificates bought from real property developers are eligible for stamp duty exemption on instruments on transfer of ownership of such buildings. The amount of stamp duty exemption is on the additional cost incurred to obtain the GBI certificate.
Applicability:
- For sale and purchase agreements executed from 24 October 2009 until 31 December 2014
- Only once to the first owner of the building
Example:
Basic Building (or Unit of Building) Cost = RM 100,000
Building Cost to Achieve GBI Certification = RM 120,000
GBI Green Cost Component = RM 20,000
(This sum to be valued by Quantity Surveyor and certified by Architect based on the list of GBI Green Cost items. This is submitted as part of CVA and checked by the GBI Certifier)
All products manufactured and marketed by InviroTech are Green Cost Items and can help you get important GBI points in your process to make your Building get Green Certification.
