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Malaysia Publishes Order and Regulations for Service Tax Changes Including Increased Rate and Expanded Scope

28 February 2024

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Approved Changes

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Malaysia

The Royal Malaysian Customs Department has published a copy of the Service Tax (Rate of Tax) (Amendment) Order 2024, which was originally published in the Official Gazette on 26 February 2024. The Order provides for the implementation of service tax changes with effect from 1 March 2024, including an increase in the service tax rate from 6% to 8% for most supplies, except for food and beverages services, telecommunication services, provision of parking place services, and logistic services, which are subject to a 6% rate. The Order also provides certain transitional rules. The Royal Malaysian Customs Department has also published...