Manufacturers seek extension of reinvestment allowance period

PETALING JAYA: Manufacturing community representatives see a need for the extension of the reinvestment allowance (RA) period beyond the current 15 years in the upcoming Budget 2013, as reinvestment is a continuous activity for any company.

The Federation of Malaysian Manufacturers (FMM) said that reinvestment in expansion, automation, modernisation or diversification of existing businesses should be continuously encouraged through the RA as reinvestments did not stop after the 15-year tax-exempt period.