The Royal Malaysian Customs Department (RMCD) has uploaded the following Guidelines on its MySST website:

No.

List of Guidelines

Remarks

1.

Guidelines on the Implementation of Sales Tax On Low Value Goods (LVG)

(Dated 3 November 2023)

These Guidelines explain the implementation of sales tax on LVG. Any person who sells LVG through an online platform or operates an online marketplace should use this guide as a reference.

LVG not exeeding RM500 from abroad which are sold online by a seller and delivered to consumers in Malaysia is subject to sales tax.

Eligible sellers are required to register LVG from 1 January 2023.

The imposition of sales tax on LVG is effective form 1 January 2024.

The guidelines consist of 2 parts:

  • Part I : Scope and Imposition on LVG
  • Part II : Customs Procedures on the Importation of LVG.

2.

Guidelines for Application on Extention of Export Period Under Section 40 of the Sales Tax Act 2018 (Drawback) & Sales Tax (Person Exempted From Payment of Tax) Order 2018

(issued on 1 November 2023 as per RMCD website)

These Guidelines are provided as a reference to the industry in making an application for asn extension of the export period for sales tax return under Sextion 40 of the Sales Tax (Person Exempted From Tax Payment) Order 2018 (P.U.(A) 210/2018).

According to the application procedure under paragraph 3 of the Guidelines, an applicant must submit the extension application before the expiry of the export date or before the goods are transported to a special area or designated area.

Reference links:

•   Guidelines on the Implementation of Sales Tax on LVG dated 3 November 2023

•   Guidelines for Application on Extension of Export Period Under Section 40 of the Sales Tax Act

2018 (Drawback) & Sales Tax (Persons Exempted From Payment Of Tax) Order 2018 (issued on 1 November 2023)

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