6,000 ITEMS TO BE TAXED UNDER SST
SOME 6,400 items will be taxed under the Sales and Services Tax, says the Customs Department director-general. Under the Goods and Services Tax system, the number was 11,197 items. The list of goods and services under SST will be finalised and uploaded on
BETWEEN 70,000 AND 80,000 LOCAL COMPANIES TO REGISTER UNDER SST
UNDER PROPOSED SST ACT 2018, FIRST-TIME TAX EVADERS FACE UP TO FIVE YEARS’ JAIL OR A FINE OF UP TO 20 TIMES THE VALUE, OR BOTH
THE Customs Department is expecting between 70,000 and 80,000 local companies to register under the Sales and Services Tax (SST).
Its director general, Datuk Seri Subromaniam Tholasy, said this would be significantly lower than the 472,000 companies registered under the Goods and Services Tax (GST).
“The department will migrate the eligible companies’ data used under the MyGST system to MySST system beginning tomorrow.
“Companies will be informed via email, so that they can check their data or information, which will be done within this week,” he said after attending the “SST Reborn! Transition from GST to SST” seminar here yesterday.
He said the migration work should be done to avoid interference once SST was implemented on Sept 1.
“For companies which have yet to register, they can register with the SST system from next week.”
He said it was vital for Customs to have engagement sessions to educate companies on the SST mechanism.
“We will help and guide companies in preparing their transition to SST to ensure that we can implement this tax system efficiently,” he said.
He said the department had engaged with 14,000 people representing 5,000 companies.
He said the Customs’ SST proposal would involve 6,400 items to be taxed, subject to Parliament’s approval. Previously, there were 11,197 items taxed under GST.
“It’s the government’s goal not to tax as broad as GST. SST is a lot easier and should not be a problem for the government to implement it,” he said, adding that the department was prepared to undertake this tax regime.
He said Customs prioritised businesses.
On the penalty for businesses that failed to comply with the new tax regime, he said the charges would remain the same as GST’s.