PUTRAJAYA, Nov 26 (Bernama) -- The government
is to provide an exemption of duty and taxes for the import of
motor vehicles exclusively for motorsports competitions beginning
Youth and Sports Minister Datuk Seri Azalina Othman
Said, who announced this today, said the exemption of duty and
taxes would also apply to vehicle parts and components and tyres
as well as safety apparel of the users.
The duty and taxes exemption mechanism would be
managed by the Motorsports Association of Malaysia (MAM), she told
reporters after announcing the collaboration of MAM and the Automobile
Association of Malaysia (AAM), here.
Currently, such vehicles can be imported free
of duty and taxes, but only temporarily.
MAM chairman Datuk Azman Yahya said the details
of the duty and taxes exemption mechanism would be announced later.
Azalina said the tax exemption would make motorsports
more affordable and spur the development and growth of the industry
Azman said locally built motorsports vehicles
as well as parts, tyres and safety apparel were also exempt from
excise duty and sales tax.
"The scheme will provide for not only cheaper
competition but also better equipment, which in turn, will provide
for better competition and potential international exposure and
showcasing in Malaysia. This is important in light of the government's
significant investment in motorsports," he said.
He also warned that the MAM would monitor closely
any misuse of the tax exemption scheme.
"Let's say the owner wants to import a Ferrari
under the scheme for a race in Sepang. If the owner fails to enter
any of the races throughout the year, we will issue a showcause
letter. We don't want the owner using the cheaper Ferrari just
to suit his lifestyle," he said.