TaxSavvyMY

Imported services by a non-registered business

We buy software services from overseas. Do we pay service tax?

The situation

Businesses in Malaysia that acquire imported taxable services must account for service tax. Non-registered persons use SST-02A.

The law

  • Sec 26, Service Tax Act 2018 and Service Tax Regulations 2018: Return (SST-02) and payment by the last day of the month after each two-month taxable period

What it means for you

Registered persons account in their normal SST-02. Non-registered businesses file SST-02A monthly. Example: RM50,000 of imported IT services at 8% = RM4,000 due.

What to do

  1. List overseas service payments.
  2. Check if taxable.
  3. File SST-02A or include in SST-02.
  4. Pay by the due date.

We can do this for youService tax registration and SST-02 returns: MYR 800

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