ASPEN Glove, a subsidiary of Singapore-listed Aspen (Group) Holdings has received a 100 per cent investment tax allowance (ITA) grant from Malaysia’s finance ministry. This grants it an income tax exemption for designing, developing and manufacturing examination and surgical nitrile gloves.
The ITA grant entitles Aspen Glove to an allowance of 100 per cent of its capital expenditure – excluding land cost – for 10 years. Aspen Glove will be allowed to offset the allowance against 100 per cent of its statutory income for each year of assessment, it said in a statement. Unutilised allowance can be carried forward to subsequent years until fully utilised.
Aspen Glove aims to fulfil all requirements imposed by this scheme including compliance with environmental, social and governance factors such as having 80 per cent local hires, 15 per cent science and technology programmes and investment into research and development.
The ITA was granted to Aspen Glove as a customised incentive for priority sectors with a unique value proposition in the Northern Corridor Economic Region (NCER), one of the economic corridors in Malaysia.
Aspen Glove’s facility in Kulim Hi-Tech Park is within the NCER, and Aspen Glove’s activity, which involves the high-value manufacturing of medical devices, is considered one of the selected priority sectors of the NCER.
Source: The Business Times – 5 April 2021 (Monday)
Source Link : https://www.businesstimes.com.sg/companies-markets/aspen-glove-gets-100-investment-tax-allowance-from-malaysian-finance-ministry