fbpx
More
    HomeNews Feed10% Sales Tax To Be Imposed On Online Goods

    10% Sales Tax To Be Imposed On Online Goods

    Reading Time: < 1 minute read

    Following the passing of the Sales Tax (Amendment) Bill 2022 by the Dewan Rakyat with a majority voice vote, a flat 10% sales tax will be imposed on goods purchased online and delivered to Malaysia by vendors registered with the finance ministry. 

    So, if you purchase an order from oversea, on any e-commerce site such as Lazada or Shopee, your goods will be charged with this new tax. 

    This flat rate will be applied to low-value goods (LVG) sold online for less than RM500. This tax rate will go into effect the following year. Moreover, this applies to goods imported from oversea, regardless of whether the seller is located within or outside of Malaysia.

    According to finance minister Tengku Zafrul, when tabling Budget 2022 last November, a sales tax would be imposed on low-value goods sourced from overseas, sold through online platforms, and delivered to the country.

    Deputy Finance Minister Shahar Abdullah noted that the government expects to collect RM200 million per year from the implementation of this tax. Therefore it will level the playing field between online sellers both inside and outside Malaysia. 

    Source: Soya Cincau, Free Malaysia

    This site uses Akismet to reduce spam. Learn how your comment data is processed.

    Must Read

    0 Shares
    Share
    Tweet
    Pin
    Share