The Dewan Negara has recently approved five bills aimed at boosting economic activities in Pulau 1, Forest City, located in Iskandar Puteri, Johor.
These legislative measures include amendments to key economic laws to the Customs (Amendment) Bill 2024, Excise (Amendment) Bill 2024, Free Zones (Amendment) Bill 2024, Sales Tax (Amendment) Bill 2024, and Service Tax (Amendment) Bill 2024.
With the passage of the Customs (Amendment) Bill 2024, Pulau 1 is set to be designated as a special customs area, akin to Labuan, Langkawi, Tioman, and Pangkor.
This move is expected to enhance economic competitiveness and infrastructure in the region, facilitating growth particularly in sectors like hospitality, finance, and retail.
Deputy Finance Minister Lim Hui Ying highlighted that Pulau 1, a levee island connected by a 600-meter bridge, is part of the Johor-Singapore Special Economic Zone (JS-SEZ).
This strategic inclusion is anticipated to attract economic activity from neighbouring countries, fostering local economic expansion and creating employment opportunities.
Lim clarified that while Pulau 1 will enjoy duty-free status, certain products like cigarettes, including electronic variants, and tobacco products will remain subject to taxation. Currently, only items such as liquor, cosmetics, chocolates, and perfumes are exempt from taxes.
The enactment of these bills underscores Malaysia’s commitment to bolstering economic growth in designated areas, fostering sustainable development, and reinforcing infrastructure to support burgeoning business enterprises and local communities alike.
