my
welcome to
Concurrent
Session 1D
Goods & Services Tax
GST! Su""ly #
Time$ %lace and &alue
Aaron 'romley
'(u"inder Sing(
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Customs & Indirect Tax
Bhupinder Singh
Executive Director, Ernst & Young
Aaron Bromley
Senior Manager, Ernst & Young
GST & SUPPLIES:
TIME, PLACE & VALUE
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GST
OV!VI"
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Scope of Tax
GST is imposed on$
supply o% goods and ser&ices in 'alaysia
importation o% goods into 'alaysia ( GST is charged on importation
importation o% ser&ices into 'alaysia ( GST is charged )y using
*re&erse charge+ mechanism ,e-g- consultancy. technical ser&ices. etc-/
GST
Import o% Goods
0hysical mo&ement o%
Goods into 'alaysia
Import o% Ser&ices
!e&erse charge
mechanism
Supply o% Goods 1
Ser&ices in 'alaysia
2Belonging Concept 1 "here
Supplier is 3ocated4
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Scope of Tax
Supply$
all %orms o% tangi)le goods or intangi)le ser&ices-
xamples include the sale or disposition. )arter. exchange.
license. rental. lease. right to use. entry into o)ligations-
E.g. Manufacture and sale of goods - - treated as a supply
Delivery of services - - another supply
anything 6hich is not a supply o% goods 6ill )e treated as a
supply o% ser&ice-
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Types of Supplies
All supplies fall within 4 categories:
Stanar rate !axa"le Supplies
#ero rate !axa"le Supplies
Exempt $o %S! &input tax not
recovera"le'
(ut)of)Scope $o %S!
*nput tax
recovera"le
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Types of Supplies
Examples of suppl+ uner each categor+:
Stanar rate ,ocal suppl+ of goos - services
#ero rate Export sales - international services
Exempt .ertain financial services, healthcare services,
eucation services, omestic transportation
of passengers for mass pu"lic transport, sales -
lease - rental of resiential lan - propert+
(ut)of)Scope !ransfer of "usiness as going concern, sales
of propert+ outsie Mala+sia, thir countr+ sales
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TI' O: S;003<
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Time of Supply / Tax Poin
As a general rule, %S! has to "e accounte for at the earliest of the following:
/0 1asic tax point
:or goods$