5/17/2018 11:49:09 AM
|written By : Team India Se|
Malaysia will introduce a sales and service tax to partly offset the shortfall in revenue from effectively scrapping a goods and service tax (GST) from June.
The Mahathir Mohamad-led government, which won the May 9 general election, said on May 16 that it would lower GST from 6 per cent to 0 per cent from June 1. Ousted leader Najib Razak had introduced the tax in 2015 amid lower oil prices.
In a statement on May 17, the Ministry of Finance said the shortfall in revenue would be supported by specific revenue and expenditure measures that would be announced soon, including the reintroduction of the sales and services tax. It did not say when the sales tax would be introduced.