What would it take to obtain the Msc Malaysia Status pioneer status ?
To begin with, it is going to be a tough game getting your Msc Malaysia Status from now onwards as there are a host of new criteria that you will have to fulfil. New criteria like business activities that were approved by Mdec includes new fields like Automation, Robotics, Iot and Artificial Intelligence. If you are not intimidated by these new toys, then you may proceed with your application but bear in mind, we are all talking about Industry 4.0 offerings. If you are a holder of the pioneer status (msc status) please be advised that your tax exemption will end on the 30 June 2021. What it means is that if you want to continue to enjoy tax exemptions, you will have to apply for a new application based on Industry 4.0 activities, no less. Although you are allowed to put in your application (since 2 August 2019) now, you are reminded that it is only for non-ip business; in other words for Industry 4.0 services only. And for the time being, only Global Business Services (modelling/analysis/research & analysis), preferably those with good value adds, Non-IP based like Global Business Process Outsourcing example like legal business outsourcing and automation business outsourcing is promoted. Those with IP based business will have to wait for Mdec's go-ahead
What is important in the eyes of Msc Malaysia Status?
1. Your application must cover good value add business like integration of Industry 4.0 elements.
2. You will have to employ a large number of knowledge workers as you will need to commit in this area.
3. Knowledge workers must be able to command high pay (touch point at RM8000)
4. Your business must be able to positively forecast good profit for the next five years.
5. Your business must be able to benefit the ICT and Non-ICT community end users in Malaysia
6. Your business model must show pioneering spirit as those of the old has been sidelined.
As you can see, there is a huge gap to fill as compared to those olden days where any Tom, Dick and Harry who is able to shout out that they are ICT practitioners will be offered a Msc Status. The road is certainly getting very tough as you might be aware that Industry 4.0 is very new to Malaysians. It would need a lot of explanations on the route to educate the industry that there is now a new way to height their efficiencies in the face of global competitions. The government is certainly concerned that if we do not take up the challenge to increase out technology, then we could face with being left out of the loop. Thus we can reason that Mdec in advancing on Industry 4.0 adoption is definitely a necessary move. Looking back, we were under the piloting of Dr. Mahathir years ahead of the other ASEAN countries in terms of ICT adoption in the nineties. But sad to say, something went awry along the way and we became losing the race whilst we were side-line by those who saw it fit to tune Msc Status into a realty route (realtors gift). Now we have to catch up, and to catch up fast as the other partners of ASEAN are already heavily focused on Industry 4.0 adoption. After all that is said might give you the impression that it is still available for the take as far as Msc Malaysia Status is concerned, but it is going to be an uphill task.
But all is not lost and in case you are faced with how to go about getting your Msc Malaysia Status application, do reach out to us for our advisory, please Email Us(please do not use a free email account to reach us due to security reasons).