Malaysia’s 2024 Budget: 2% Service Tax Rise, Extended Tax Net, and New Luxury Tax

• Malaysia’s 2024 Budget includes a 2% rise in the Service Tax from 6% to 8%
• Certain essential supplies will remain at 6%
• A new Luxury Tax will be implemented
• Sales Tax of 5% or 10% on turnover for the sale of goods
• Sales and Service Taxes were reintroduced in Malaysia after a brief period of Goods & Services Tax
• Food, beverages, car parks, and telecommunications will remain at 6%
• The Service Tax net will be extended to logistics services, brokerage and underwriting services, and karaoke outlets
• A new Luxury Tax will be introduced on the sales of jewellery and watches.

Source: vatcalc.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.

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