Malaysia to impose taxes on goods and services from September

  • Malaysia will impose a tax of between 5 percent and 10 percent on the sale of goods, while services will attract a 6 percent levy when a new tax regime comes into effect on Sept. 1.
  • The Sales and Services Tax (SST) is being reintroduced after the government led by Prime Minister Mahathir Mohamad repealed an unpopular goods and services tax earlier this month.

Customers browsing at a clothing store in Kuala Lumpur, Malaysia.
Sanjit Das | Bloomberg | Getty Images
Customers browsing at a clothing store in Kuala Lumpur, Malaysia.

Malaysia will impose a tax of between 5 percent and 10 percent on the sale of goods, while services will attract a 6 percent levy when a new tax regime comes into effect on Sept. 1, the country's customs chief Subromaniam Tholasy said on Thursday.

The Sales and Services Tax (SST) is being reintroduced after the government led by Prime Minister Mahathir Mohamad repealed an unpopular goods and services tax (GST) earlier this month.

The GST, which covered a broader range of items and services compared with the SST, has been set at 6 percent.