The Invisible Cost of SST: Addressing Transparency and Cascading Effects in Malaysia’s Tax Regime

• Consumers often do not realize the sales or service tax they indirectly pay when purchasing goods.
• The tax paid earlier in the supply chain is not reflected in the consumer’s receipt.
• The tax-on-tax effect creates a cascading effect along the supply chain.
• The lack of transparency is a downside to Malaysia’s current indirect tax regime.
• Implementing the goods and services tax (GST) is unlikely due to political reasons and potential inflation.

Source: theedgemalaysia.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

---

---