By the EV Charge Malaysia team · Updated October 2026
TL;DR: Malaysia’s Budget 2027, tabled on 9 October 2026, has no new EV purchase rebate, car tax change or home-charger tax relief. Its EV measures target public charging: an Investment Tax Allowance of up to 100% for charging station companies runs to 31 December 2030, and the Malaysian Highway Authority (LLM) will provide 50 EV charging facilities. The existing RM2,500 tax relief for home EV charging runs until year of assessment 2027.
Hoping for an EV rebate? We combed the speech for anything EV-related. In summary: not much.
Is there anything for EV owners in Budget 2027 Malaysia?
Only indirectly. Both EV measures in the speech are about public charging, with nothing new for buyers or for your home wallbox (a wall-mounted home charger).
A bit of a letdown, lah. The Malaysian Automotive Association (MAA) had asked for an RM7,000 to RM10,000 income tax rebate for EV and hybrid buyers. No luck.
Although Budget 2027 announced no new purchase rebate, existing incentives remain relevant. Locally assembled (CKD) EVs continue to benefit from tax exemptions until 31 December 2027, while the broad exemptions for fully imported (CBU) EVs expired at the end of 2025.
What did Budget 2027 announce for EV charging?
Charging station tax allowance extended to 2030
The incentive for EV charging station companies now runs until 31 December 2030. Eligible companies may claim an Investment Tax Allowance (ITA) of up to 100% on qualifying capital expenditure, subject to scheme requirements. This reduces taxable income; it does not mean the government reimburses the entire cost of installing chargers.
For you, it’s indirect: operators like ChargEV and Gentari get more runway, which should mean more public chargers.
50 charging facilities from LLM
The Malaysian Highway Authority (Lembaga Lebuhraya Malaysia, or LLM) will provide 50 EV charging facilities at strategic locations, according to the speech text. SoyaCincau reports LLM has 148 highway DC charging points, with 500 targeted by 2030.
Budget 2027 and EVs at a glance
| Item | In Budget 2027? | What Does It Mean? |
|---|---|---|
| EV buyer rebate | No | No Budget-driven EV price drop |
| Car tax change for EV buyers | No | Nothing new to plan around |
| CKD (locally assembled) EV tax exemptions | Not new; run to 31 Dec 2027 | CKD models keep their tax breaks |
| Home charger tax relief | Nothing new; existing relief to YA2027 | Up to RM2,500, shared limit |
| Up to 100% ITA for charging stations | Yes, to 31 Dec 2030 | More public chargers over time |
| LLM highway charging | Yes, 50 facilities | Sites not named yet |
| 800 kWh bill protection | Mentioned (Sep to Dec 2026) | Home charging may tip you over |
Can you still claim tax relief for a home EV charger in Malaysia?
Yes. The relief of up to RM2,500 for EV charging costs, such as installation or a charging subscription, runs until year of assessment (YA) 2027. The RM2,500 tax relief is a combined annual limit shared with other qualifying environmental sustainability and home safety expenses. It reduces taxable income, rather than giving buyers a RM2,500 cash rebate.
Choose EV chargers that comply with the applicable Energy Commission approval and certification requirements, and engage an ST-registered electrical contractor with appropriately qualified personnel.
Does the 800 kWh electricity bill protection affect home charging?
It can. Households using up to 800 kWh a month skip the Automatic Fuel Adjustment, the RM10 retail charge and the 8% SST from September to December 2026.
Now add an EV. About 1,500 km a month at roughly 15 kWh per 100 km adds around 225 kWh (try your numbers in our EV charging cost calculator), so a home already at 650 kWh would cross 800 and lose all three exemptions.
The 800 kWh exemption is temporary and scheduled to end on 31 December 2026. The previous 600 kWh threshold would then apply unless a further extension is announced.
FAQ
Is there an EV rebate in Budget 2027 Malaysia?
No. The Budget 2027 speech announced no rebate or new tax relief for EV buyers.
Did Budget 2027 extend EV charging tax incentives?
Yes. Eligible EV charging station companies can claim an Investment Tax Allowance of up to 100% on qualifying capital expenditure until 31 December 2030. It’s for businesses only.
Can I claim tax relief for a home EV charger in Malaysia?
Yes. Individuals can claim up to RM2,500 for EV charging facility costs until year of assessment 2027, within a limit shared with other qualifying expenses.
How many EV chargers will the Malaysian Highway Authority build?
The Budget 2027 speech says LLM will provide 50 EV charging facilities at strategic locations.
Does Budget 2027 change electricity bills for EV owners?
No EV-specific tariff was announced. Home charging can push you past the temporary 800 kWh bill protection limit.
Disclaimer: Indicative as of October 2026; confirm tax rules with LHDN. EV Charge Malaysia is independent; sponsored listings are labelled.
