KUALA LUMPUR, February 21 — The Finance Ministry has confirmed that Putrajaya has no immediate plans to reintroduce the Goods and Services Tax (GST), citing the long implementation period required. Instead, the government will refine the existing Sales and Service Tax (SST), which has been in place for over 40 years.
In 2024, Malaysia collected RM476.1 million from the Low-Value Goods (LVG) tax and RM1.6 billion from the Service Tax on Digital Services. The ministry also noted that revenue from the newly introduced Capital Gains Tax (CGT) would only be available from July 2025. It assured that additional tax revenues will be directed toward public services and government assistance while balancing economic impact considerations.
