Mastering Sales and Service Tax (SST) 2018: Awareness, Compliance & Sectoral Applications
HRD Corp claimable programme
Hartamas Training Centre
Level 13, Block A, Menara Prima, Jalan PJU 1/37, Dataran Prima, 47301, Petaling Jaya, Selangor Darul Ehsan.
Trainer
DR. NAVINKUMAR
Senior Lecturer/Accredited Trainer
Introduction
The reintroduction of Sales and Service Tax (SST) in 2018 has reshaped Malaysia’s indirect taxation framework. Unlike the multi-stage GST system, SST is a single-stage consumption tax comprising Sales Tax (on taxable goods at the manufacturer/import stage) and Service Tax (on prescribed services at the service provider level).
While SST may appear straightforward, in practice, businesses across industries struggle with classification issues, compliance obligations, invoicing errors, and sector-specific grey areas. For example:
- Manufacturers must identify whether raw materials qualify for exemption under the Schedule of Exemptions.
- Trading companies must handle customs duties, sales tax on imports, and exemption certificates correctly.
- Hospitality businesses must charge service tax on rooms, food, and bundled services.
- Logistics providers face challenges in service tax treatment for domestic vs international freight.
- Professional services (law, consultancy, IT) are taxable by default unless exemptions apply.
This course aims to demystify SST by:
- Providing clear explanations of key principles,
- Exploring sector-specific applications,
- Reviewing recent RMCD updates, and
- Conducting hands-on exercises so participants leave with practical compliance skills they can immediately apply.
Course Objectives
By the end of this course, participants will be able to:
- Describe the structure, scope, and mechanism of Sales Tax and Service Tax.
- Identify whether goods or services in their sector are taxable, exempt, or excluded.
- Apply SST rules to manufacturing, trading, hospitality, logistics, and service industries.
- Correctly issue SST-compliant invoices and maintain proper records.
- File SST-02 returns accurately and on time.
- Recognize recent changes in SST laws and apply them correctly.
- Minimize risks of non-compliance, penalties, and audit exposure.