The Royal Malaysian Customs Department (RMCD) issued Sales Tax Policy No. 2/2022 (“STP 2/2022,” currently available in the Bahasa Malaysia language only) on 24 August 2022, indicating that a sales tax exemption is available in relation to drop shipment arrangements under certain conditions where goods purchased by a local (i.e., Malaysian) trader from a registered manufacturer are exported directly to the local trader’s customers overseas by the registered manufacturer.
Source Deloitte
Latest Posts in "Malaysia"
- Malaysia Updates Indirect Tax Forms Requiring More Detailed SST-02 Return Reporting
- Malaysia 2026 Budget: Tax Exemption Extensions, New LLP Tax, Carbon Tax Introduction
- Malaysia Introduces Sales Tax Exemption for ASEAN Cross-Border Goods Transport Vehicles
- Malaysia’s Indirect Tax Reforms: Challenges, Compliance, and Future Budget Expectations
- Malaysia Issues Sales Tax Exemption Guidance for Manufacturers; Refund Applications Due by November 30, 2025
