Registered person is a taxable service provider who is liable to be registered under Service Tax Act 2018 with taxable service value exceeds RM 500,000 within the period of 12 months.
However, any person who is not liable to be registered may apply to the Director General to be registered as a voluntary registered person.
The tax rate is an ad valorem tax at 6% on all services provided. However, a specific tax rate of RM25 per year applies to each credit card and charge card owned.
No service tax shall be charged and levied on any taxable service provided within or between special areas such as free zones, licensed warehouses, licensed manufacturing warehouses and Joint Development Area (JDA) and designated areas (Labuan, Langkawi, Tioman) unless the Minister otherwise prescribes by order.
Service tax is not chargeable for imported and exported services.
Service Tax Due and Payable
Service tax is due and payable at the time when payment is received for the taxable service provided to the customer by the registered person.
Issuance of Invoice
Every registered person who performs any taxable services shall issue an invoice containing prescribed particulars in the national language or English in respect of the transaction.
All registered person issuing an invoice shall state thereon the following particulars:
(i) The invoice serial number;
(ii) The date of the invoice;
(iii) The name, address and identification number of the registered person;
(iv) A description sufficient to identify the taxable services provided;
(v) Any discount offered;
(vi) The total amount payable excluding tax, the rate of tax and the total tax chargeable shown as a separate amount;
(vii) The total amount payable inclusive of total of tax chargeable; and
(viii) Any amount expressed in a currency other than Ringgit shall also be expressed in Ringgit at the selling rate of exchange prevailing in Malaysia at the time of taxable services is provided.
Every registered person is required to account for Service Tax based on the payment basis where tax is required to be accounted for whenever the payment of services is received.
Invoice which includes taxable and non-taxable services, must clearly indicate the services on which tax is charged.
Registered person who issue computerised invoices shall transmit by electronic and produced in any material other than paper and is delivered.
Service Tax Return
Every registered person shall in respect of his taxable period account for the service tax due in a return as may be prescribed and the return shall be furnished to the Director General in the prescribe manner not later than the last day of the month following the end of his taxable period by using the form SST-02.
Taxable Period
Odd Financial Year End (FYE) Month (If your effective date of registration is 1st September 2018)
The SST return is required to be furnished to the DG no later than the last day of the month following the end of the taxable period.
For the purpose of receiving returns of service tax, if the last day falls on the Federal weekly holiday or Federal public holiday then the last day to receive such return and payment is on the day immediately after the Federal weekly holiday or the Federal public holiday.
Submission of SST-02 Return
The registered person can submit the SST-02 return by:
(i) Submitting electronically through MySST Portal by log in to MySST System.
(ii) Posting to the Customs Processing Centre (CPC):
(a) Download SST-02 from portal MySST and type in by using capital letter and
(b) The complete form must be posted to the following address:
Customs Processing Centre (CPC)
Jabatan Kastam Diraja Malaysia
Kompleks Kastam WPKL
No. 22 Jalan SS 6/3,
Kelana Jaya, 47301,
Petaling Jaya, Selangor.
For the return submitted by post, the receipt of the return is acknowledged based on the post-mark date. However, for the return submitted electronically, the receipt of the return is acknowledged based on the date received by the MySST system.
The SST-02 return should be furnished whether there is tax to be paid or not (Nil Return).
The declaration of the SST-02 return shall contain all taxable services performed to the customer including the services for own use.
Notice of SST Assessment
The Director General may assess to the best of his judgement the amount of service tax due and payable and the penalty payable if any by the registered person and shall forthwith notify him of the assessment in writing.
SST Return Amendment
If a registered person makes an error in any return SST-02 furnished under the Act, he shall correct it in such manner and within such time as the officer of customs may require.
Any tax due in respect of a taxable period becomes payable not later than the last day of the month following the end of the taxable period.
Any cheque and bank draft for tax payment is considered received by the DG on the date of the amount is duly paid.
Penalty for Late Payment of Tax
Payment of service tax can be made electronically through the MySST system - Financial Process Exchange (FPX) or manually by cheque or bank draft only. Any cash payment is not allowed.
For payment by cheque or bank draft, registered person must attach the payment voucher and post to:
Customs Processing Center (CPC)
Jabatan Kastam Diraja Malaysia
Kompleks Kastam WPKL
No. 22 Jalan SS 6/3,
Kelana Jaya 47301,
Petaling Jaya, Selangor.
Cheque must be paid to the Ketua Pengarah Kastam Malaysia.
The registered person needs to send the return and make payment at the same time. Any manual payments made without submitting a SST-02 will not be processed.
The important information that need (needs) to provide on the back of the check :
(i) Company Name – e.g. : Syarikat ABC
(ii) SST Number– : e.g. W24-YYMM-XXXXXXXX
(iii) Taxable Period – e.g. : 01.09.2018 – 30.09.2018
(iv) Telephone Number – e.g : 03-8888 9999
Hours of Payment
The ordinary hours which the service tax administration offices shall be open for matters relating to service tax are as follows:
(i) For the state of Malacca, Negeri Sembilan, Pahang, Perak, Perlis, Penang, Selangor, Sarawak, Sabah and Federal Territories (Kuala Lumpur, Putrajaya and Labuan) where the weekly holidays are Saturday and Sunday, the hours shall be from 8.00 am to 5.00 pm on Monday to Friday.
(ii) For the state of Johore, Kedah, Kelantan and Terengganu where the weekly holidays are Friday and Saturday, the hours shall be:
(a) From 8.00 am to 5.00 pm on Sunday to Wednesday; and
(b) From 8.00 am to 3.30 pm on Thursday
For the purpose of receiving payments of service tax, penalty, surcharge and other payment via the electronic service made after 11.30 pm shall be deemed to receive on the following day.
For the purpose of payment of service tax, if the last day falls on the Federal weekly holiday or Federal public holiday then the last day to make payment is on the day immediately after the Federal weekly holiday or the Federal public holiday.
Keeping Documents and Records Relating to Return
A registered person must keep accurate records relating to all transactions involving Service Tax. All business transactions must be kept up-to-date and registered in the national language or English only.
Any records must be kept in Malaysia preserved for a period of 7 years from the latest date to which the record relates as otherwise approved by the Director General.
The basic records to be kept are:
(i) Invoices and payment receipt;
(ii) Daily, Monthly or Yearly Sales Report;
(iii) Debtor Aging Listing;
(iv) Credit / Debit Note Listing;
(v) Audited Financial Statement;
(vi) Bank statement; and
(vii) Contractual Agreement and Progressive Report.
Q : Can I submit SST-02 returns manually?
A : Yes. The registered person can submit the SST-02 return manually by posting to the Customs Processing Centre (CPC):
(i) Download SST-02 from portal MySST and type in by using capital letter (handwritten is not allowed) and
(ii) The complete form must be posted to the following address:
Customs Processing Centre (CPC)
Jabatan Kastam Diraja Malaysia
Kompleks Kastam WPKL
No. 22 Jalan SS 6/3,
Kelana Jaya, 47301,
Petaling Jaya, Selangor.
Q : What is the payment method for SST payment?
A : The Payment of SST can be made via two (2) method as follows:
(i) Eelectronically through the MySST system - Financial Process Exchange (FPX) and
(ii) Manually by cheque or bank draft.
** Cash payment is not allowed.
Q : Can the payment made manually at any nearest Customs station?
A : No. Manual payment ONLY can be made by posting to Customs Processing Centre (CPC)
Q : If I choose to make payment manually, what are the documents require to submit?
A : For manual payment method, documents as follows are required to submit:
(i) Copy of Completed SST-02 returns if already submitted online or Completed SST-02 returns that you want to submit manually to CPC.
(ii) The important information that needs to provide on the back of the check:
(a) Company Name – e.g. : Syarikat ABC
(b) SST Number – e.g. W24-YYMM-XXXXXXXX
(c) Taxable Period – e.g. : 01.09.2018 – 30.09.2018
Q : If I choose to make payment online (via FPX), when is my transaction is considered received?
A : For the purpose of receiving payments of sales tax, penalty, surcharge and other payment via the electronic service made after 11.30 pm shall be deemed to receive on the following day.
Q : If the last day of the month falls on a weekend, when do I have to make payment?
A : If the last day falls on the Federal weekly holiday or Federal public holiday then the last day to make payment is on the day immediately after the Federal weekly holiday or the Federal public holiday.
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Edited by: 浪子
Bibliography
Royal Malaysian Customs Department. (2018). Guide on Return & Payment. Retrieved from
https://mysst.customs.gov.my/assets/document/1.%20Guide%20Service%20Tax%20Return%20and%20Payment_05092018.pdf
Service Tax - Guide on Return & Payment
Reviewed by 浪子
on
September 11, 2018
Rating:
Reviewed by 浪子
on
September 11, 2018
Rating:
