The Chartered Tax Institute of Malaysia (CTIM) has welcomed the government’s decision to expand the Sales and Services Tax (SST) regime from 1 July, describing the move as a timely and strategic effort to bolster Malaysia’s fiscal resilience.

CTIM president, Soh Lian Seng, noted that the initiative represents a pragmatic approach to fiscal sustainability, achieved without reintroducing the Goods and Services Tax (GST) or increasing direct taxes. “As Malaysia’s service-based economy continues to grow, CTIM recognises the government’s effort to broaden the tax base by incorporating more sectors into the SST regime. This aligns with global trends and reflects a pragmatic approach to fiscal sustainability,” he said in a statement.

Soh praised the clarity offered through the gazette orders and the targeted nature of the reforms. “The clarity through gazette orders and the targeted approach are commendable. We encourage continued engagement and practical support to help businesses adapt,” he added.

Acknowledging the short lead time before implementation, CTIM urged affected businesses to act promptly by registering or updating their systems. The July rollout, the Institute noted, coincides with the remaining taxable periods for the year, providing a logical timeframe for the changes.

To ensure a smooth transition, CTIM called on the government to establish dedicated support channels, such as hotlines, email services, or live chats, staffed by well-informed personnel. These measures, it said, would offer timely guidance, help businesses navigate the new requirements, and reduce compliance risks.

While CTIM welcomed the issuance of transitional rules and guidance, it also highlighted the importance of sustained dialogue between authorities and industry players to address any potential challenges during implementation. “CTIM stands ready to explain the government’s initiatives and offer constructive feedback where improvements are possible,” said Soh.

(Source: NST)

Samuel Chua

Samuel writes about personal finance and financial news, focusing on how banking updates, policies, and promotions affect everyday money decisions. He enjoys making complicated financial topics easier to follow. Outside of writing, he spends his time watching TV shows and occasionally convincing himself he will only watch one episode.

• TAGS:
• Chartered Tax Institute of Malaysia
• CTIM
• Goods And Services Tax
• GST
• Sales and Services Tax
• SST

About THE AUTHOR

Samuel Chua

Samuel Chua

Samuel writes about personal finance and financial news, focusing on how banking updates, policies, and promotions affect everyday money decisions. He enjoys making complicated financial topics easier to follow. Outside of writing, he spends his time watching TV shows and occasionally convincing himself he will only watch one episode.

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