Dewan Negara Passes 5 Bills To Spur Economic Activities In Pulau 1, Forest City

KUALA LUMPUR, July 25 (Bernama) -- The Dewan Negara has passed five bills to promote and expand economic activities in Pulau 1, Forest City, in Iskandar Puteri, Johor.

The bills passed are 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 Customs (Amendment) Bill 2024, Pulau 1 will no longer be part of the principal customs area, similar to Labuan, Langkawi, Tioman and Pangkor, by the addition of provisions for special taxes into the Customs Act 1967 (Act 235).

All five bills were passed by majority voice vote after the third reading following their presentation by Deputy Finance Minister Lim Hui Ying.

During the winding up of the debate on the Customs Bill, Lim said Pulau 1 is a levee island gazetted by the Department of Mapping and Survey Department Malaysia that is connected with a 600-metre-long bridge.

"Pulau 1 has been included in the Johor-Singapore Special Economic Zone (JS-SEZ), where the initiative (JS-SEZ) is seen to increase the economic sector's competitiveness, spur sustainable growth and strengthen the infrastructure that can benefit businesses and the people.

"Pulau 1's status as a duty-free island is expected to generate economic spillover from neighbouring countries that will affect local economic growth and the creation of more job opportunities in sectors being developed, such as hospitality, finance and retail," she said.

Lim emphasised that, under the amendment, cigarettes, including electronic cigarettes and tobacco products, are not tax-free in Pulau 1.

"Currently, only four items are exempted from tax: liquor, cosmetics, chocolates and perfumes," she added.

-- BERNAMA