Malaysia will start imposing a 10% sales tax on online shopping for items priced under RM500 delivered from abroad. This tax applies to all online sellers, regardless of their location, and excludes imported alcohol or smoking products.
How much more will you need to pay the next time you go shopping online and buy items priced under RM500, once Malaysia starts imposing a new 10 per cent sales tax on such goods delivered from abroad next year? Here’s everything you need to know as an online shopper in Malaysia , based on the Royal Malaysia n Customs Department’s 35-page guidelines and six-page list of frequently-asked-questions released last month:( LVG or goods at a price of less than RM500 each) that are sold online and shipped from abroad to customers in Malaysia (including customers in the duty-free islands of Labuan, Langkawi, Tioman, and Pangkor, and in special areas such as free zones or licensed warehouses).
This tax applies to all online sellers (whether the seller is located in Malaysia or overseas) who sell LVG on an online platform or operate an online marketplace where LVG is sold. This tax applies to everything that is sold online at a price of less than RM500 each that are brought into Malaysia by land, sea, air, except for imported alcohol or smoking product
Malaysia Online Shopping Sales Tax LVG Royal Malaysian Customs Department