Pulau Meranti Industrial Park offers more than just modern facilities—it positions investors to benefit from Malaysia’s tax incentives like Industrial Building Allowance, Green Investment Tax Allowance, and reinvestment incentives. Learn how owning here can boost long-term ROI.
Maximize Tax Incentives with a Strategic Pulau Meranti Investment
Smart industrial investment isn’t just about location and layout — it’s also about long-term tax efficiency. At Pulau Meranti Binastra Industrial Park, investors and business owners enjoy not only high-spec facilities, but also strategic eligibility for Malaysia’s industrial and green tax incentives. These tax-friendly opportunities can significantly improve return on investment (ROI), especially when paired with the park’s sustainable infrastructure and growth-ready design.
Industrial Building Allowance (IBA) for Owners
If you’re purchasing a unit at Pulau Meranti for your own operations, you may qualify for the Industrial Building Allowance (IBA) — a key incentive under the Income Tax Act 1967. This allows you to depreciate the cost of your industrial building over a fixed period, reducing your annual taxable income.
For example, factories typically qualify for an annual allowance of 3% on construction cost over 33 years. This provides a steady tax shield and lowers your effective income tax each year. Pulau Meranti’s new, purpose-built factories fit neatly into IBA eligibility due to their designated industrial use and reinforced structures — including 10kN/m² heavy-duty flooring and 1.5-tonne hoist lifts.
Green Technology Tax Incentives
As businesses adopt more sustainable practices, Pulau Meranti’s green-ready infrastructure opens the door to further tax savings:
- Solar PV readiness – install rooftop solar panels and qualify for the Green Investment Tax Allowance (GITA), which offers a 100% tax deduction on qualifying capital expenditure
- Rainwater harvesting system – reduces reliance on municipal water and may qualify for environmental sustainability rebates
- EV charging point readiness – support electrification of your logistics fleet and align with green vehicle incentives
Malaysia’s government continues to promote green infrastructure through its Budget 2024 and beyond. By investing in a facility like Pulau Meranti — already designed with these technologies in mind — you gain a head start in claiming these rebates without costly retrofitting.
Reinvestment Allowance for Business Expansion
If your company plans to expand manufacturing or increase productivity at your Pulau Meranti unit, you could be eligible for the Reinvestment Allowance (RA). This incentive lets manufacturers claim 60% of qualifying capital expenses (such as new machinery or factory upgrades) as a tax deduction for up to 15 years.
Since Pulau Meranti offers expansion-ready units with high ceilings, large land plots, and future-proof floor loading, it’s a logical home for business growth. Companies looking to automate or increase their capacity can reinvest efficiently and enjoy tax relief as they scale. Pulau Meranti’s 3-storey layout, hoist lift, and wide driveways are practical advantages that also support faster ROI under RA eligibility.
RPGT and Long-Term Exit Tax Efficiency
For investors planning a resale exit, Malaysia’s Real Property Gains Tax (RPGT) structure favors long-term holding. As of 2022, industrial properties sold after six years of ownership are exempt from RPGT for individuals. This means that capital appreciation on a Pulau Meranti factory unit — which may increase in value over time due to infrastructure growth and tenant demand — can be realized without tax penalties after holding it long enough.
Even for corporate entities, long-term ownership results in reduced RPGT rates, making Pulau Meranti a strategic long-hold investment with both income and capital gains tax benefits.
Combining Returns with Tax Efficiency
When paired with its location near major highways (MEX, SKVE, LDP, ELITE), modern factory specs, and future-ready green features, Pulau Meranti stands out as a dual-benefit investment: offering strong tenant demand plus significant tax advantages.
- Industrial Building Allowance (IBA) – depreciation benefit for owner-occupiers
- Green Investment Tax Allowance (GITA) – up to 100% tax deduction on solar and eco tech
- Reinvestment Allowance (RA) – for productivity expansions and machinery upgrades
- RPGT relief – no tax after 6 years (for individuals), reduced rates for companies
In short, Pulau Meranti is not just a smart location — it’s a smart financial move. When tax incentives and industrial efficiency go hand-in-hand, your property becomes more than just a workspace — it becomes a high-performance asset in your portfolio.
