NCER Tax Incentives (NTAX@NCER)

A Comprehensive Package of FISCAL INCENTIVES

NCER Tax Incentives

The NTAX Package consists of region-specific, broad-based fiscal incentives which encourage and reward high-value and substantial investments in NCER according to identified priority sectors. 

These incentives include an Income Tax Exemption, as well as an Investment Tax Allowance. The package also includes rewards for specific promoted activities such as Research and Development (R&D). 

Other benefits for investors include Stamp Duty Reduction (based on location of operations) and Import Duty Exemption on raw materials, components, machineries, equipment, spare parts and consumables that are not produced locally and used directly in the production activities.

These competitive incentives are key enablers to NCER’s development.

		Income Tax Exemption	Investment Tax Allowance	Import Duty Exemption	Stamp Duty Reduction
N1	Kedah	100% income tax exemption up to 15 years	100% allowance up to 10 years	Exempted	50% reduction on transfer or lease of land
N1	Perlis	100% income tax exemption up to 15 years	100% allowance up to 10 years		Not applicable
N2	Penang	70% income tax exemption up to 10 years	70% allowance up to 10 years		Not applicable
N2	Perak	70% income tax exemption up to 10 years	70% allowance up to 10 years		Not applicable
Special Promoted Area	Seberang Prai Utara, Seberang Prai Selatan, Seberang Prai Tengah, Barat Daya Pulau Pinang, Selama, Kerian, Hulu Perak, Perak Tengah, Kuala Kangsar, Bagan Datuk, Hilir Perak, Kampar, Batang Padang and Larut & Matang	Up to 100% income tax exemption up to 15 years	Up to 100% allowance up to 10 years	Not applicable	Not applicable

NON-fISCAL: NCER FACILITATION PROGRAMMES

NTEP@NCER Programme

Provides job opportunities to unemployed graduates via private sector partners.

NTIC Programme

Talent Development: led by industry, endorsed by academia to meet the industry demand

Platform for local companies to carry out high-value technology activities through CoE
Local companies’ development through R&D&T&I&C & adoption of digitalization / automation to move up value chain in NCER High Impact Strategic Projects through T&I

DU@NCER Programme

Provision of financial assistance to Bumiputera companies through provision of grants covering 15% or maximum of RM2 million from total qualifying project cost.