SST revision: Finance Minister II to provide further clarification
PUTRAJAYA: Finance Minister II Datuk Seri Amir Hamzah Azizan will provide further clarification and explanation regarding the implementation of the targeted Sales Tax rate revision and expansion of the Service Tax scope.
MADANI Government spokesman and Communications Minister Datuk Fahmi Fadzil said he was informed that the explanation on the matter will be delivered via a press conference or an official statement.
Fahmi said the government takes public feedback seriously regarding the upcoming Sales and Service Tax (SST) revision.
'As the public is aware, the revenue collected will be channeled into developments such as the construction of schools and hospitals,' he said during his weekly media conference here today.
On June 9, the Finance Ministry announced that the government will implement a targeted revision of items subject to the Sales Tax and an expansion of the Service Tax scope, effective July 1, in line with the Budget 2025 announced in October 2024.
The measure is aimed at strengthening the country's fiscal position by increasing revenue and broadening the tax base without adding undue burden on the majority of Malaysians.
The Sales Tax rate will remain unchanged for essential goods, while a rate of either five or 10 per cent will apply to discretionary and non-essential goods.
The scope of the Service Tax will be expanded to include six new services, namely rental or leasing, construction, financial services, private healthcare, education, and beauty services.
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