Malaysian Ministry of Finance 2025 Budget Proposal On October 18, 2024, the Malaysian Ministry of Finance presented its 2025 Budget Speech, introducing several notable changes to the country’s tax regime aimed at broadening the tax base and enhancing revenue collection. These proposals reflect Malaysia’s ongoing
2025 Budget unlikely to announce reimplementing GST to replace Sales and Services Taxes Rumours of an announcement at this week’s 2025 Budget of the reintroduction of Goods and Services Tax have been played down by prime minister Datuk Seri Anwar Ibrahim. He said on 13
MyInvois B2B and B2C e-invoicing v4.0 guidelines issued On 3 October 2024, the Malaysia Revenue Board (LHDN) issued Version 4.0 of its e-invoice Guidelines. On 1 August 2024, Malaysia’s mandatory B2B, B2C and B2G e-invoicing regime launched. This includes a first wave with soft-launch (taxpayers
1 March 2% rise in Service Tax Malaysia raised its Service Tax rate from 6% to 8% on 1 March 2024. However, some services remained at the old 6% rate. The separate Sales Tax on most goods rate remains at 10%. Rise implementation guidance The
New Guide and FAQs for delayed imposition of Sales Tax and duties on B2C low value goods goes ahead 1 January 2024 Reforms to sales tax on small value packages have now been confirmed for 1 January 2024. The Royal Malaysian Customs Department has last
Legislation to impose Sales Tax on low-value goods from 1 January 2023 (to be finalised) The Malaysian Sales Tax Bill 2022 passed at the Parliament to impose Sales Tax on the imports of goods being sold to consumers under to-be-set threshold. This is expected to
Government still evaluating reintroduction of Goods and Services Tax to replace Sales and Services Tax Malaysia is again facing calls to reintroduce a Goods and Services Tax to replace its turnover-based Sales and Services Taxes. GST was first introduced in April 2015 to replace SST,
Malaysia has extended the exemption from 5% Service Tax for hotels and overnight accommodation. The existing temporary cut was due to expire on 1 July 2021. It will now apply to 31 December 2021. The reduction to 31 December 2021 applies to renting premises. Any
Malaysia imposed its Service Tax on foreign-provided digital services from 1 January 2020. This includes providers and electronic platforms. There is a RM 500,000 Sales Tax registration threshold. Non-residents must charge this to both B2C and B2B transactions. There is no requirement to appoint a
New budget promises extension of SST across e-commerce In the 2022 National Budget, published on 29 October 2021, Malaysia extended its 6% Service Tax to delivery services. Secondly, it will require sellers of imported goods not exceeding RM500 to charge 10% Sales Tax at the
