Category: GST

Royal Malaysian Customs Department publishes guide on transmission and distribution of electricity services and guide on information technology services

Royal Malaysian Customs Department publishes guide on transmission and distribution of electricity services

The Royal Malaysian Customs Department published the guide on transmission and distribution of electricity services on 1 July 2020. The guide seeks to assist taxpayers in understanding the service tax treatment on the provision of electricity services.

The guide illustrates the following:

• terminology

• scope of tax

• service tax treatment on the provision of electricity services

• treatment of service tax on electricity services in designated area and special area

• frequently asked questions

• inquiry contact

Royal Malaysian Customs Department publishes guide on information technology services

The Royal Malaysian Customs Department published the guide on information technology services on 1 July 2020. The guide seeks to assist taxpayers in understanding the service tax treatment on information technology services. The service tax is a consumption tax governed by the Service Tax Act 2018 and its subsidiary legislation.

The guide illustrates the following:

• imposition and scope of tax

• terminology

• general operations of the industry and overview of information technology services

• charging service tax

• service tax treatment on information technology services

• exemption from payment of service tax (business-to-business exemption)

• treatment on imported taxable services

• responsibility of a registered person

• frequently asked questions

• inquiry contact

Source: Royal Malaysian Customs Department website, 1 July 2020

Announcement — Penalty in MySST system for late payment of taxes on Taxable Period included in the Movement Control order (MCO) period

Announcement — Penalty in MySST system for late payment of taxes on Taxable Period included in the Movement Control order (MCO) period

  • Due to inevitable time and system constraints during the MCO, penalties on Taxable periods which are included in the MCO period will still be generated in the MySST as usual. However JKDM will remit the penalties as soon as possible.
  • Actual Due Date of the taxable period and the date of penalty generated are as follows:
No.Taxable periodDue Date to submit
return and payment		Date of penalty
generated
1.Jan-Feb 202031/3/20201/4/2020
2.Feb-Mar 202030/4/20201/5/2020
  • Any Bill of Demand (BOD) on penalties elligable for remission during the Movement Control Order (MCO) the will be remitted by JKDM as soon as possible.
    Application for remission of these penalty is not required.

RMCD releases notice on display prices

RMCD releases notice on display prices

 

The Royal Malaysian Customs Department (RMCD) has released a notice to clarify the display of price tags with effect from 1 June 2018.

The notice provides, among others, the following:

• GST-registered vendors are required to display a notice in an obvious area in their premises that the price tags that used to include the 6% GST has changed to 0% GST.

• GST-registered vendors are given until 1 July 2018 to update their price tags.

• Those who have obtained approval from the Director General to charge GST exclusively need not change their price tags. However, they are not allowed to collect GST since it has been zero-rated.

Kindly visit the RMCD website for further information.

 

Source: RMCD website, 30 May 2018

 

Releases from the RMCD — Revised guides updated, 22 August 2016

Releases from the RMCD — Revised guides updated, 22 August 2016

The Royal Malaysian Customs Department (RMCD) has revised the following guide in its portal:

Industry Guides

• Insurance and Takaful

The Guide on Insurance and Takaful revised as at 22 October 2014 is withdrawn and replaced by the Guide on Insurance and Takaful revised as at 19 August 2016.

No plans to increase GST rate

No plans to increase GST rate
16 August 2016 | Source: Bernama
PUTRAJAYA, Aug 16 (Bernama) — The government will not increase the Goods and Services Tax (GST) rate although a revenue shortfall of RM30 billion is expected this year from the oil and gas industry, said Second Finance Minister Datuk Johari Abdul Ghani.