SST revision: Finance Minister II to provide further clarification
PUTRAJAYA: Finance Minister II Datuk Seri Amir Hamzah Azizan will provide further clarification and explanation regarding the implementation of the targeted Sales Tax rate revision and expansion of the Service Tax scope.
MADANI Government spokesman and Communications Minister Datuk Fahmi Fadzil said he was informed that the explanation on the matter will be delivered via a press conference or an official statement.
Fahmi said the government takes public feedback seriously regarding the upcoming Sales and Service Tax (SST) revision.
'As the public is aware, the revenue collected will be channeled into developments such as the construction of schools and hospitals,' he said during his weekly media conference here today.
On June 9, the Finance Ministry announced that the government will implement a targeted revision of items subject to the Sales Tax and an expansion of the Service Tax scope, effective July 1, in line with the Budget 2025 announced in October 2024.
The measure is aimed at strengthening the country's fiscal position by increasing revenue and broadening the tax base without adding undue burden on the majority of Malaysians.
The Sales Tax rate will remain unchanged for essential goods, while a rate of either five or 10 per cent will apply to discretionary and non-essential goods.
The scope of the Service Tax will be expanded to include six new services, namely rental or leasing, construction, financial services, private healthcare, education, and beauty services.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Sun
16 minutes ago
- The Sun
MSM welcomes Finance Ministry's clarity on SST exemption mechanism for raw sugar
KUALA LUMPUR: MSM Malaysia Holdings Bhd (MSM), the producer of the national refined sugar brand 'Gula Prai', welcomes the timely clarification issued today by the Ministry of Finance regarding the Sales and Service Tax (SST) treatment of raw sugar imports. The ministry's statement today confirmed that while a five per cent sales tax will apply to raw sugar, a key input for refined sugar production, refiners may apply for tax exemptions under prescribed conditions. In a statement today, MSM said that this clarification follows MSM highlighting the potential significant cost pressures arising from the expanded SST regime during its annual general meeting on June 19, 2025. 'The group emphasised that these input cost increases could impact refined sugar pricing, which could in turn push up prices of refined sugar for industrial buyers. 'We appreciate the ministry's prompt attention to this matter and its reaffirmation of a clear pathway for eligible refiners to seek relief,' it said. MSM added that this is particularly crucial given the challenging operating environment, where retail sugar prices have been capped at RM2.85 per kilogramme since 2011 despite substantial rises in global raw sugar costs in recent years.
The Sun
27 minutes ago
- The Sun
MSM welcomes MOF clarification on raw sugar SST rules
KUALA LUMPUR: MSM Malaysia Holdings Bhd (MSM), the producer of the national refined sugar brand 'Gula Prai', welcomes the timely clarification issued today by the Ministry of Finance regarding the Sales and Service Tax (SST) treatment of raw sugar imports. The ministry's statement today confirmed that while a five per cent sales tax will apply to raw sugar, a key input for refined sugar production, refiners may apply for tax exemptions under prescribed conditions. In a statement today, MSM said that this clarification follows MSM highlighting the potential significant cost pressures arising from the expanded SST regime during its annual general meeting on June 19, 2025. 'The group emphasised that these input cost increases could impact refined sugar pricing, which could in turn push up prices of refined sugar for industrial buyers. 'We appreciate the ministry's prompt attention to this matter and its reaffirmation of a clear pathway for eligible refiners to seek relief,' it said. MSM added that this is particularly crucial given the challenging operating environment, where retail sugar prices have been capped at RM2.85 per kilogramme since 2011 despite substantial rises in global raw sugar costs in recent years.
Malaysiakini
an hour ago
- Malaysiakini
SST: Firm welcomes govt's clarification on exemption mechanism for raw sugar
MSM Malaysia Holdings Bhd (MSM), the producer of the national refined sugar brand Gula Prai, welcomes the timely clarification issued today by the Finance Ministry regarding the sales and service tax (SST) treatment of raw sugar imports. The ministry's statement today confirmed that while a five percent sales tax will apply to raw sugar, a key input for refined sugar production, refiners may apply for tax exemptions under prescribed conditions...
