Amendments to Indirect Tax Legislations relating to Pulau 1

The following amendments to the Indirect Tax Acts, Regulations and Orders as well as new Orders have been gazetted to exclude Forest City (“Pulau 1”) from the definition of “Principal Customs Area” and reclassifying as a “Designated Area” for Sales Tax and Service Tax purposes. 

a) Sales Tax (Amendment) Act 2024

b) Service Tax (Amendment) Act 2024

c) Customs (Amendment) Act 2024

d) Excise (Amendment) Act 2024

e) Free Zones (Amendment) Act 2024

f) Sales Tax (Amendment) Regulations 2024

g) Customs (Amendment) (No. 3) Regulations 2024

h) Excise (Amendment) Regulations 2024

i) Free Zones (Amendment) Regulations 2024

j) Sales Tax (Compounding of Offences) (Amendment) (No. 2) Regulations 2024

k) Customs (Compounding of Offences) (Amendment) Regulations 2024

l) Excise (Compounding of Offences) (Amendment) Regulations 2024

m) Sales Tax (Imposition of Sales Tax in respect of Designated Areas) (Amendment) Order 2024

n) Service Tax (Imposition of Tax for Taxable Service in respect of Designated Areas (Amendment) (No. 2) Order 2024

o) Service Tax (Imposition of Tax for Taxable Service in respect of Designated Areas relating to Pulau 1 and Special Areas) Order 2024 [new]

p) Customs Duties (Pulau 1) Order 2024 [new]

q) Customs (Prohibition of Imports) (Amendment) (No. 4) Order 2024

r) Excise Duties (Pulau 1) Order 2024 [new]

These Acts, Regulations and Orders come into operation on 1 December 2024

Please click on the above header links for copies of the legislations at the Federal Legislation Portal of Malaysia and KPMG’s highlights (Tax Whiz) for further information.

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Soh Lian Seng
Partner - Head of Tax and Tax Dispute Resolution
lsoh@kpmg.com.my
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Ng Sue Lynn
Partner - Head of Indirect Tax
suelynnng@kpmg.com.my
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Tai Lai Kok
Partner - Head of Corporate Tax
ltai1@kpmg.com.my
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Bob Kee
Partner - Head of Transfer Pricing
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Long Yen Ping
Partner - Head of Global Mobility Services  yenpinglong@kpmg.com.my
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