Tax deductions for Food Bank donors to begin in 2027

KOTA KINABALU: Special tax deductions for food and equipment donors under the Ihsan Food Bank Initiative (i-FB) will take effect from Jan 1, 2027, to Dec 31, 2030.

Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said the incentive was aimed at encouraging wider participation from the corporate sector, voluntary organisations and other strategic partners in helping those in need.

He said the incentive was among 44 tax measures announced in the 2027 Budget following the acceptance of recommendations by the Domestic Trade and Cost of Living Ministry by the Prime Minister and Finance Ministry.

Armizan said the incentive would also recognise and encourage contributions of food, equipment and operational support to strengthen the implementation of i-FB.

"The tax incentive is in line with efforts to strengthen the food bank ecosystem through integrated coordination that creates wider opportunities for various parties to participate.

"The special tax deduction is one of the incentives and forms of recognition introduced to broaden the participation of strategic partners," he said.

He was speaking at the UMS Alumni Homecoming and Fundraising Dinner 2026 at a hotel here yesterday.

Armizan said details of the incentive's implementation mechanism would be coordinated with the Finance Ministry.

The i-FB is among the initiatives to address the cost of living through a nationwide approach involving government agencies, the private sector, non-governmental organisations and individuals.

Coordinated by the ministry's Cost of Living Division, the initiative is based on the 3S approach — Santuni Komuniti, Sayangi Alam and Selamatkan Makanan (Care for Communities, Love the Environment and Save Food).