MALAYSIANS CHEER AS MAHATHIR & HARAPAN DELIVER PROMISES: ZERO PERCENT GST EFFECTIVE JUNE 1

The Finance Ministry today announced that the GST rate will be reduced from six to zero percent effective June 1.

The announcement came shortly after Prime Minister Dr Mahathir Mohamad announced that he had instructed the government to stop collecting GST.

The removal of GST is part of the new Pakatan Harapan government’s manifesto, which it promised to implement within 100 days.

Today marks the seventh day the new ruling coalition is in power, after it ended BN’s 61-year rule since independence in the May 9 general election.

“The Finance Ministry has set that the six percent GST imposed on the supply of goods and services in Malaysia, as well as imported goods and services, will be fixed at zero percent.

“This move is effective throughout the country from June 1 until further notice,” the Finance Ministry said in a statement.

It added that existing items that were already exempted from GST will continue to remain so.

It said all businesses must abide by the zero percent GST rate.

“All registered businesses must abide by existing rules which include the need to issue tax invoices, submitting tax statements during the set tax period and tax credit input claims.

“Businesses must also ensure that the price of goods and services complies with the Price Control and Anti-Profiteering Act 2011 at all times,” it said.