As of March 1, 2024, Malaysia's Sales and Service Tax (SST) is slated to increase from 6% to 8%. Despite some opposition to the implementation, the planning is proceeding as scheduled. To provide clarity on these changes, here's a concise summary of the new SST adjustments.
#Categories subject to 8% SST:
- Hotel and accommodation industry
- Credit card and charge card processing and fees
- Entertainment and leisure industry (clubs, etc.)
- Maintenance or repair services (car repairs, etc.)
- Professional services industry (accounting, advertising, construction, etc.)
- Other services industry (hair salons, beauty parlors, laundry services, etc.)
#Categories maintaining a 6% tax rate:
- Food and beverage industry
- Telecommunication services
- Parking services
- Logistics services
#Newly added taxable categories:
- Broking and underwriting services
- Delivery services
- Karaoke
