
After apples and oranges, MOF says no tax on beauty services
The Finance Ministry announced today that, after carefully considering public sentiment, it has decided not to proceed with the proposed expansion of the sales and services tax (SST) to beauty services such as manicures and pedicures, facial services, and barbers and hairdressers.
The ministry said all revisions to the expanded SST were made after taking into account feedback from the public and industry.
'Since the announcement on June 9, 2025 regarding the...
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New Straits Times
7 hours ago
- New Straits Times
SAMENTA welcomes SST revision as major relief for SMEs
KUALA LUMPUR: The Small and Medium Enterprises Association Malaysia (SAMENTA) has welcomed the Finance Ministry's revision to the expanded Sales and Service Tax (SST), describing it as a meaningful relief for small and medium enterprises (SMEs). Its president, Datuk William Ng, said the revision includes a higher annual sales threshold for service tax on rental and financial services, which effectively exempts approximately 75 per cent of SMEs from the additional eight per cent tax under the expanded SST. "When the expansion of the SST was first announced, SAMENTA was among the first to voice concerns, particularly over its potential impact on our SMEs. "We urged the government to raise the SST threshold – a move that would protect smaller enterprises while still allowing for a broader and fairer tax base," he said in a statement today. The ministry announced today that, after carefully considering public sentiment, it has decided not to proceed with the proposed expansion of the service tax to beauty services, including manicures and pedicures, facial services, and services provided by barbers and hairdressers. It stated that all revisions to the expanded Sales Tax and Service Tax were made after considering feedback from the public and industry. Ng said the association expressed gratitude to Prime Minister Datuk Seri Anwar Ibrahim for hearing their concerns and directing the ministry to revise the threshold upwards. "While we will continue to advocate for a balanced and SME-friendly approach in future tax reforms, we consider this matter concluded and will not seek further concessions on the SST expansion," he added. He also encouraged affected SMEs to take the necessary steps to implement the expanded SST and to seek assistance from the Customs Department where needed.— BERNAMA

Barnama
8 hours ago
- Barnama
SAMENTA Welcomes Revision To Expanded SST As Relief For SMEs
BUSINESS KUALA LUMPUR, June 27 (Bernama) -- The Small and Medium Enterprises Association Malaysia (SAMENTA) has welcomed the Ministry of Finance's (MoF) revision to the expanded Sales and Service Tax (SST), describing it as a meaningful relief for the small and medium enterprises (SMEs). Its president, Datuk William Ng said the revision includes a higher annual sales threshold for service tax on rental and financial services, which effectively exempts approximately 75 per cent of SMEs from the additional eight per cent tax under the expanded SST. 'When the expansion of the SST was first announced, SAMENTA was among the first to voice concerns, particularly over its potential impact on our SMEs. 'We urged the government to raise the SST threshold - a move that would protect smaller enterprises while still allowing for a broader and fairer tax base,' he said in a statement today. The MoF announced today that, after carefully considering public sentiment, it has decided not to proceed with the proposed expansion of the service tax to beauty services, including manicures and pedicures, facial services, and services provided by barbers and hairdressers. The MoF stated that all revisions to the expanded Sales Tax and Service Tax were made after considering feedback from the public and industry. Ng said the association expressed gratitude to Prime Minister Datuk Seri Anwar Ibrahim for hearing their concerns and directing the ministry to revise the threshold upwards. 'While we will continue to advocate for a balanced and SME-friendly approach in future tax reforms, we consider this matter concluded and will not seek further concessions on the SST expansion,' he added. He also encouraged affected SMEs to take the necessary steps to implement the expanded SST and to seek assistance from the Royal Malaysian Customs Department where needed.


The Sun
8 hours ago
- The Sun
SAMENTA praises SST revision as relief for Malaysian SMEs
KUALA LUMPUR: The Small and Medium Enterprises Association Malaysia (SAMENTA) has lauded the Ministry of Finance's updated Sales and Service Tax (SST) expansion, calling it a significant relief for small and medium enterprises (SMEs). SAMENTA president Datuk William Ng highlighted that the revised policy raises the annual sales threshold for service tax on rental and financial services, sparing around 75% of SMEs from an additional eight per cent tax burden. 'When the expansion of the SST was first announced, SAMENTA was among the first to voice concerns, particularly over its potential impact on our SMEs. We urged the government to raise the SST threshold - a move that would protect smaller enterprises while still allowing for a broader and fairer tax base,' Ng said in a statement. The MoF confirmed today that, after reviewing public feedback, it will not extend the service tax to beauty services such as manicures, pedicures, facials, and barber or hairdressing services. All adjustments followed consultations with industry stakeholders. Ng thanked Prime Minister Datuk Seri Anwar Ibrahim for addressing SME concerns and revising the tax thresholds. 'While we will continue to advocate for a balanced and SME-friendly approach in future tax reforms, we consider this matter concluded and will not seek further concessions on the SST expansion,' he added. He advised affected SMEs to prepare for the updated SST regulations and seek guidance from the Royal Malaysian Customs Department if needed.