Transitioning from GST to SST

Transitioning from GST to SST

Malaysia SME Magazine


With the transition of GST to SST, there has been some dissent to the sudden switch, as there were concerns on whether there would be enough time for businesses to prepare as there was only two-month period of preparation.

KPMG Malaysia’s executive director for tax Ng Sue Lynn, said whether the short time period would prove sufficient for businesses to prepare remained to be seen.

“During these two months, Customs has to do two things, shift from 6% to 0% and then from GST to SST. We know that Customs is working very hard towards it, and there has been an indication that there will be policy papers being issued in the near future to allow businesses to prepare for the SST,” she said.

As to whether the SST would be a placeholder for the near future to allow the country’ finances to recover before reverting back to the GST, KPMG Tax Services Sdn Bhd’s adviser of indirect tax Datuk Tan Sim Kiat believes the government has alrady done it studies and determined that SST is the best way forward now.

Malaysia SME Magazine

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