Blog > Marketplace News > Malaysia Responds To 10% Low-value Commodity Tax: Local Products Will Not Be Affected
Malaysia Responds To 10% Low-value Commodity Tax: Local Products Will Not Be Affected
Jayson 18 Dec 2023 10:28
According to Malaysian media sources, the country's Communications and Digital Minister Fahmi Fadzil said that the 10% tax on online purchases only applies to imported goods worth less than RM500.
He said this was to increase the competitiveness of local products, which were not affected by taxes when purchased online.
"It only applies to products imported from overseas and sold online in Malaysia, products produced in the country are not affected, so I hope this can clear up the public's misunderstanding about the tax."
"We can refer to the official website of the customs department for more details, and we will conduct monitoring from time to time to ensure that people, especially sellers and buyers who conduct online transactions, really understand (the tax)," he said.
According to previous reports, the Royal Malaysian Customs Department recently announced that Malaysia will begin to levy a 10% sales tax on imported low-value goods (LVG) sold online from January 1, 2024. Shopee has issued relevant instructions.
He said this was to increase the competitiveness of local products, which were not affected by taxes when purchased online.
"It only applies to products imported from overseas and sold online in Malaysia, products produced in the country are not affected, so I hope this can clear up the public's misunderstanding about the tax."
"We can refer to the official website of the customs department for more details, and we will conduct monitoring from time to time to ensure that people, especially sellers and buyers who conduct online transactions, really understand (the tax)," he said.
According to previous reports, the Royal Malaysian Customs Department recently announced that Malaysia will begin to levy a 10% sales tax on imported low-value goods (LVG) sold online from January 1, 2024. Shopee has issued relevant instructions.
