Budget 2027 cuts income tax rates for middle earners and SMEs, and raises personal relief for the first time since 2010 — but Deloitte says the bigger signal is what was not announced. The absence of any hybrid SST-GST proposal suggests the Government is not ready to redesign how Malaysia taxes consumption. For now, it is redistributing the income tax burden instead. Deloitte Malaysia says Budget 2027 lowers taxes for middle-income earners and small businesses and asks top earners to pay more. The firm’s Malaysia Budget 2027 Snapshot analyses the Budget tabled by Prime Minister Anwar Ibrahim on 9 October. The tax rate for chargeable income of RM70,001 to RM100,000 falls from 19% to 18%.
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