Starting January 1, 2020, the government will impose a digital services tax (DST) of six percent on foreign digital service providers (FSPs) in Malaysia.
The RMCD guide defines a consumer as any business or individual that fulfils any two of the following criteria:
- Makes payment an FSP through a credit card or debit facility provided by a financial institution under the country’s Ministry of Finance;
- Resides in Malaysia; or
- Acquires the digital service through an internet protocol (IP) address registered in Malaysia.