Preparing your Business for Sales and Service Tax (SST) in Malaysia: A Comprehensive Guide

GST & SST Transition
Introduction of SST
Taxable Persons for SST
Prescribed Threshold for SST
Threshold Calculation
Registration Period
Taxable Period
Accounting for SST (Accrual/Payment Basis)
Overview of SST Expansion (Effective 1 July 2025)
Filing Tax Returns
Paying SST
Penalties

Sales Tax Types
Sales Tax Rate
Overview of Sales Tax Expansion (Effective 1 July 2025)
Determination of Taxable Sales Value
Taxable Persons
Sales Tax Registration
Sales Tax Exemption
Groups of Taxable Services (Group, Service, Threshold, Tax Rate)

Latest changes – Before vs After (1 July 2025)
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Scenarios, Examples, FAQ and Study Cases
Service Tax Explanation (Group by Group)
Group A: Accommodation
Group B: Food and Beverage (F&B)
Group C: Night-Clubs, Dance Halls, Wellness Centre and etc
Group D: Private Clubs
Group E: Golf Club and Golf Driving Range
Group F: Betting and Gaming

Group G: Professionals
Latest changes – Before vs After (1 July 2025)
Variety Types of Professional Services
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Non-Taxable Services (Group Relief)
Business to Business Exemption (B2B Exemption)
Registration and Responsibilities of a Registered Person
Scenarios, Examples, FAQ and Study Cases
Group H: Finance
Latest changes – Before vs After (1 July 2025)
Terminology of Financial Services
Variety Types of Group H
Effective Date
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Imported Services
Service Tax in Designated Areas (DA) or Special Areas (SA)
Financial Services not subject to Service Tax
Exemption from Payment of Service Tax
Procedure for Service Tax Exemption
Transitional Period
Scenarios, Examples, FAQ and Study Cases

Group I: Other Service Providers
Latest changes – Before vs After (1 July 2025)
Variety Types of Group I
Newly Added Services in Group I
a) Healthcare Services by Private Healthcare Facilities
b) Traditional and Complementary Medicine Private Services
c) Private Allied Health Services
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Taxable Service related to Designated Areas (DA) and Special Areas (SA)
Non-Taxable Service
Exemption from Payment of Service Tax
Transitional Issues
Scenarios, Examples, FAQ and Study Cases
Group J: Logistic Services
Variety Types of Group J
Logistic Services
Courier Services
Custom Agent
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Service Tax Exemption (if any)
Scenarios, Examples, FAQ and Study Cases
Group K: Rental or Leasing
Latest changes – Before vs After (1 July 2025)
Terminology of Rental or Leasing
Implication of the Service Tax Expansion
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
List of Taxable Rental or Leasing Services
List of Non-Taxable Rental or Leasing Services Exemption from Payment of Service Tax
Sublet/Sublease
Small and Micro Enterprise
Non-Reviewable Contracts
Operational Lease vs Financial Lease
Transition Rules and Arrangement
Taxable Period and Filing Requirement
Scenarios, Examples, FAQ and Study Cases
Group M: Education
Latest changes – Before vs After (1 July 2025)
Terminology and overview of Education Services
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Imposition of Service Tax on Special Areas (SA) or Designated Areas (DA)
Treatment on Imported Taxable Services
Registration and Responsibilities of Registered Persons
Transitional Issues
Scenarios, Examples, FAQ and Study Cases

Group L: Construction Works
Latest changes – Before vs After (1 July 2025)
Terminology of Construction Work Services
Taxable Person, Taxable Services, Prescribed Threshold, Tax Rate
Main Players in Construction Industry
Example type of project lists
Construction Services for Mixed Development
Construction Services for Residential Buildings
Exemption from Service Tax Payment (B2B Exemption)
Transition Period Management
Effect of Changes in Taxable Services
Treatment of Retention Sum
Liquidated and Ascertained Damages (LAD)
Non-Reviewable Contract
Construction Services within Special Areas (SA) and Designated Areas (DA)
Service Tax Rates & Calculation
Business Flow & Invoice Issuance Requirement
Taxable Period & Service Tax Due
Registration and Responsibilities of Registered Persons
Compliance and Filing Requirement
SST-02 Return Preparation, Payment Procedures
Scenarios, Examples, FAQ and Study Cases

Registration Process
Voluntary Registration
Cessation of Liability to be Registered
Disbursement vs Reimbursement
Claim for Refund Service Tax for Bad Debts
Service Tax Deduction (Contra System)
Service Tax Exemption
Group Relief
Taxable Services to Outside the Group of Companies