Latest news with #AssociationofPrivateHospitalsMalaysia
Sinar Daily
18 hours ago
- Business
- Sinar Daily
Private hospitals urge extension of SST deadline for foreign patient services
SHAH ALAM – The planned expansion of the Sales and Service Tax (SST) to private healthcare services for non-Malaysian patients is expected to pose significant operational challenges for the healthcare sector. The Association of Private Hospitals Malaysia (APHM) has called on the government to extend the July 1 implementation deadline, warning that the short notice does not allow sufficient time for private hospitals to make the necessary adjustments. The six per cent SST, announced as part of the government's effort to broaden the tax base, would apply specifically to services provided to non-citizens. In a statement released today, APHM acknowledged the government's economic objectives but stressed the need for a more practical timeline. It said hospitals would require adequate lead time to update administrative systems, adjust billing procedures and ensure full compliance with the new tax framework. 'Today, APHM sent a written request to the Finance Ministry (MOF) for a more practical timeline beyond the current July 1 implementation date. 'This is to allow smoother transition, minimise disruption to patient services and help ensure full compliance with the new requirements,' the statement read. The association also raised the need for further clarification on specific areas of the policy, including its treatment of professional fees, implications for foreign residents in Malaysia and other implementation details. Highlighting the vital role of private hospitals in Malaysia's healthcare system, APHM noted their contribution to both domestic care and international medical tourism. Malaysia was recently ranked among the top 10 global medical tourism destinations by Nomad Capitalist, with the sector projected to generate USD$2.7 billion annually by 2030. APHM reaffirmed its commitment to working collaboratively with the government to ensure sustainable implementation of the SST expansion. 'We will continue to engage constructively to help safeguard service continuity and uphold the standard of care, while supporting the Government's broader policy objectives,' the statement added. Finance Minister II Datuk Seri Amir Hamzah Azizan - Photo by Bernama The expanded SST, announced by Finance Minister II Datuk Seri Amir Hamzah Azizan, would take effect on July 1 and would include six new service categories: leasing, construction, finance, private healthcare, education, and beauty. Malaysians would remain exempted from SST on healthcare services, including traditional treatments such as Malay, Chinese, Indian and Islamic medicine, as well as allied health services like physiotherapy, audiology, and speech therapy. To support a smoother transition, the government has assured that no legal or punitive action will be taken against non-compliant businesses until Dec 31, 2025.
The Star
a day ago
- Health
- The Star
Private hospitals group urges Finance Ministry to postpone July 1 expanded SST implementation
PETALING JAYA: The Association of Private Hospitals Malaysia (APHM) has sent a written request to the Finance Ministry to delay the implementation of the expanded Sales and Service Tax (SST) for private healthcare services. It said a practical timeline beyond the current July 1 implementation would allow for a smoother transition and minimise disruption to patient services. "It will also help ensure full compliance with the new requirements," said APHM in a statement on Wednesday (June 11). APHM has also sought further clarification on the policy's application, including its impact on professional fee, its treatment of foreigners residing in Malaysia and other related implementation matters. "Private hospitals are an essential part of Malaysia's healthcare ecosystem, delivering quality care to both local and international patients. APHM said it remains committed to working collaboratively with the government to ensure effective and sustainable policy implementation. "We will continue to engage constructively to help safeguard service continuity and uphold the standard of care, while supporting the government's broader policy objectives," it added.
New Straits Times
a day ago
- Business
- New Straits Times
Private hospitals ask for more time to comply with SST expansion
KUALA LUMPUR: The Association of Private Hospitals Malaysia (APHM) has requested an extension for the compliance of the expanded Sales and Service Tax (SST), which is scheduled to come into effect on July 1. Under the new rules, private healthcare services provided to non-Malaysian patients will be subject to a 6 per cent SST. APHM said that while it supports the Government's plans to broaden the tax base to support economic growth, the short implementation timeframe poses "significant operational challenges". "Private hospitals would need sufficient lead time to adjust administrative systems, billing processes, and compliance procedures," APHM said in a statement. The association has submitted a written request to the Finance Ministry for a more practical timeline beyond July 1. "This is to allow a smoother transition, minimise disruption to patient services, and help ensure full compliance with the new requirements. "APHM has also sought further clarification on the policy's application, including its impact on professional fees, its treatment of foreigners residing in Malaysia, and other related implementation matters." APHM said that private hospitals are an essential part of Malaysia's healthcare ecosystem, with the country being recognised as one of the top 10 global destinations for medical tourism. "APHM remains committed to working collaboratively with the government to ensure effective and sustainable policy implementation."
The Star
2 days ago
- Health
- The Star
Long, winding road towards DRG payment model rollout
KUALA LUMPUR: A proper rollout of the diagnosis-related group (DRG) payment model could take more than six months, given the complexities in data gathering and analysis, said Association of Private Hospitals Malaysia (APHM) president Datuk Dr Kuljit Singh. He said that for any DRG or any DRG-type mechanism to work, accurate clinical data and a national electronic health record system are needed. Presently, this foundational data is not yet available, which presents significant challenges for timely and effective DRG implementation, he added. 'As the process of gathering and analysing such data is complex and time-consuming, APHM anticipates that a proper rollout will require considerably more than six months,' said Dr Kuljit. He also said the APHM is heartened to hear Health Minister Datuk Seri Dr Dzulkefly Ahmad's announcement at the APHM International Healthcare Conference and Exhibition 2025 that a basic medical and health insurance/takaful (MHIT) product will be introduced later this year, while the DRG will be rolled out in phases. To support this national initiative, Dr Kuljit said APHM member hospitals have offered to share relevant clinical data required for the set-up of a DRG system with the Health Ministry and the Finance Ministry. 'APHM strongly advocates that adequate time and resources be allocated to ensure that the DRG initiative is thoroughly conceptualised, piloted and implemented to ultimately deliver sustainable improvements for all Malaysians,' added Dr Kuljit. Earlier, Dzulkefly said introducing DRGs to pay for healthcare services, in phases, beginning with MHIT products, will be a key driver for value-based healthcare.
New Straits Times
3 days ago
- Health
- New Straits Times
APHM offers clinical data to support DRG system pricing rollout
KUALA LUMPUR: Member hospitals under the Association of Private Hospitals Malaysia (APHM) have offered to share clinical data essential for developing the Diagnostic-Related Group (DRG) pricing model. In a statement today, APHM said its member hospitals will provide the relevant data to the Health and Finance Ministries, as this foundational data is currently unavailable and poses significant challenges to the timely and effective implementation of the DRG system. "APHM is heartened to hear (Health Minister) Datuk Seri Dr Dzulkefly Ahmad shared in his opening speech at the APHM International Healthcare Conference & Exhibition 2025 today that a basic medical and takaful health insurance product will be introduced this year, while the DRG will be rolled out in phases. "For the DRG or any DRG-type mechanism to work, accurate clinical data and a national electronic health record system are needed. "At present, this foundational data is not yet available, which presents significant challenges for timely and effective DRG implementation," it said. APHM said implementing the DRG system properly will take more than six months, as the data collection and analysis process is both complex and time-consuming. The association also advocates allocating sufficient time and resources to ensure that the DRG model is well conceptualised, thoroughly piloted, and effectively executed to bring long-term improvements to Malaysia's healthcare system. On April 18, Dzulkefly said the ministry plans to implement the DRG syste m in stages this year, starting with common illnesses. On April 21, APHM's president Datuk Dr Kuljit Singh said the DRG pricing model presents a major challenge for Malaysia, primarily due to the lack of a universal healthcare financing system. The DRG model is a billing system under which hospitals charge a fixed fee for treating specific illnesses or conditions, aimed at curbing medical inflation.
