VATupdate

Share this post on

Malaysia Preparing for Service Tax Increase

Malaysia’s Ministry of Finance is finalizing transitional rules for service tax changes effective from 1 March 2024. The scope of the service tax will be expanded to include karaoke center, brokerage and underwriting, and logistics (delivery) services. The standard service tax rate will increase from 6% to 8%, except for certain services which will remain at 6%. Transitional rules propose that supplies made before 1 March 2024 will be subject to the 6% rate, while supplies invoiced/paid for on or after 1 March 2024 will be subject to the increased rate. Supplies invoiced/paid for before 1 March and supplied on or after 1 March 2024 up to 31 August 2024 will be subject to the 6% rate.

Source Orbitax

Sponsors:

VAT news
VAT news

Advertisements:

  • VATupdate.com