Malaysian Minister of Finance Grants Relief from GST for Certain Supplies of Services

Sovos
July 26, 2017

Effective July 1, 2017, the Minister of Finance in Malaysia announced that four groups of supplies will now be exempt from GST. The supplies that no longer apply GST include:

  1. The supply of services directly in connection with goods for export, to an overseas customer who belongs in a country other than Malaysia (for tax purposes), and who is outside Malaysia at the time the services are performed. 
  2. The supply of services by a company licensed under section 65A of the Customs Act of 1967, or operating in a free zone directly in connection with goods for export to an overseas customer who belongs in a county other than Malaysia, and who is outside Malaysia at the time the services are performed.
  3. The supply of services directly in connection with goods involved in R&D to an overseas customer who belongs in a country other than Malaysia, and who is outside of Malaysia at the time the services are performed. 
  4. The supply of tools or machines and services, directly in connection with such tools or machines, to an overseas customer who belongs in a country other than Malaysia, and who is outside of Malaysia at the time the services are performed. 

More guidelines and information regarding the GST Relief plan, has been published by the Royal Malaysian Customs Department, here

The post Malaysian Minister of Finance Grants Relief from GST for Certain Supplies of Services appeared first on Sovos.

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Sovos was built to solve the complexities of the digital transformation of tax, with complete, connected offerings for tax determination, continuous transaction controls, tax reporting and more. Sovos customers include half the Fortune 500, as well as businesses of every size operating in more than 70 countries. The company’s SaaS products and proprietary Sovos S1 Platform integrate with a wide variety of business applications and government compliance processes. Sovos has employees throughout the Americas and Europe, and is owned by Hg and TA Associates.
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