MySST: Guide On What You Need to Know About SST

Starting a company or perhaps a business?

Need help with MySST?

Whatever questions you have in mind, the answer is here. We will reveal it all about MySST.

Read more as we guide you to the answers of what is MySST, how to register, exemption until how to make a payment.

What is MySST?

Sales and Service Tax is tax charged and levied on taxable services provided by any taxable person in Malaysia.

SST is made up of two separate taxes.

6% service tax on service provided in Malaysia.

10% sales tax that will be charged on selected products and services.

Who is a taxable person?

The taxable person is a registered manufacturer or manufacturer who is liable under section 12.

Registered manufacturer – Manufacturer registered under section 13 or 14.

Taxable Period

• Bimonthly

Is my business taxable?

Are you a:	Yes	No
Manufacturer?	You will be charged by the customs if:-  Your sales values in the past 12 months exceeds the RM500,000 registration threshold	You will not be charged sales tax by the customs.
Are you a service provider?	Charge your customers if:-  Total Value of taxable services provided exceeds the RM500,000 (or RM1,000,00 for F&B) registration threshold-  You provide a taxable service	You don’t have to charge your consumers.

What are the taxable services?

–  Hotel

–  Insurance and Takaful

–  Service of Food and beverage preparation includes

–  Provision of electricity

–  Clubs

–  Gaming – Service tax charged on collection based on formula.

You can read more here.

How do I register?

You need to log in to your account. Your registration will be processed online through MySST system.

You will be notified of registration or if you haven’t got it, you may apply individually online with MySST portal.

You may also refer to this video to help you register.

How do I charge SST to my consumer?

You can either:

Add 6% service tax of original price or absorb 6% service tax to maintain the original price.

Example:

You are a café owner who sells RM10.00 for a glass of Iced Lemon Tea. You can add 6% of service tax and 10% for service charge on the receipt for the service you provided to prepare that Iced Lemon Tea.

RM10.00 (Original Price)

6% = RM0.60 (Service tax)

10% = RM1.00 (Service charge – if that is your rate)

Total price of the Iced Lemon Tea + 6% service tax + service charge= RM11.60

*Do not include service charge in service tax calculation. Service charge is not government tax but the fee that is charged by the service provider.

*Service charge is not to be confused with SST (10% sale on goods and 6% on tax provision of the services)

How do I make a payment?

Before paying to customs, you must:

–  Update your pricing

–  Keep track of service tax that needs to be paid to Customs

You can make your payment with:

–  Online

–  Cheque, bank draft and posted to SST Processing Centre or to:

Ketua Pengarah Kastam Malaysia

Jabatan Kastam Diraja Malaysia

Pusat Pemprosesan Kastam

Kompleks Kastam Kelana Jaya

No.22 Jalan SS6/3 Kelana Jaya

47301 Petaling Jaya Selangor

Will I be penalized for late payment?

Yes.

–  10% on the 1^st 30 days

–  15% on the 2^nd 30 days

–  15% on the 3^rd 30 days

Can I get an SST exemption?

All goods are subjected to sales tax except goods exempted under Sales Tax (Goods Exempted From Tax) Order 2018 (e.g. live animals, unprocessed food, vegetables, medicines, machinery, chemicals)

Service tax is exempted in Malaysia’s special designated areas, including Langkawi Island, Tioman Island Labuan Federal Territory.

For more info, you can read here.

And if you are eligible you can apply for exemption here

MySST is a single stage tax – imposed only once during the entire supply chain – at the time of manufacture or the time imported in Malaysia.

With MySST, the cost of living will probably go down and consumption will increase, thus businesses can present their products and service at a competitive price.

For more information you can go to the official website.

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Running a café or restaurant but SST is confusing you already? Slurp is here to help you ease the burden.

What can we do for you?

We provide solutions via Software-as-a-Service model to F&B retailers to enable them to improve business efficiency, enhance customer experience and more.

Slurp! is a cloud-based point-of-sale (POS) system for F&B retailers in Malaysia.

Merchants with POS can use the system to complete sales transactions.

POS system is a combination of POS hardware and POS software to create a POS machine for processing transaction and payment. Read more here.

Other features of Slurp!

–  Manage employee check-in and checkout

–  Receive and manage orders from customers

–  Alert waiters for bills or pending delivery

–  Authorized users will have access to analytical reports derived from a synchronized POS system.

Give Slurp a try. You can request a free demo here.

With Slurp! you can keep track of every transaction, thus making it easier for you to pay your MySST.