SALES TAX (AMENDMENT) ACT 2024

This Act comes into operation on a date to be appointed by the Minister by notification in the Gazette.

Amendment of section 2

in the definition of “designated areas”, by substituting for the words “and Pangkor” the words “, Pangkor and

Pulau 1”; and

SALES TAX (AMENDMENT) ACT 2024

by inserting the after definition of “petroleum”

the following definition:

‘ “Pulau 1” has the meaning assigned to it under subsection 2(1) of the Customs Act 1967;’.

Amendment of section 49

by renumbering the existing section as subsection (1);

and

by inserting after the renumbered subsection (1)

the following subsection:

“(2)  In the case of Pulau 1, this Act shall apply to any taxable goods manufactured in Pulau 1, other than any goods which the Minister may declare by order published in the Gazette.”.

New section 49a

An application for the approval under subsection (1)

shall be made in the manner as precribed by the Minister in the regulations.

Any person who contravenes this section commits an offence and shall, on conviction, be liable to a fine not exceeding fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.”.

Sales Tax (Amendment)

5

Amendment of section 50

by renumbering the existing section as subsection (1);

in the renumbered paragraph (1)(a), by inserting after the words “designated areas” wherever appearing the words “other than Pulau 1”; and

by inserting after the renumbered subsection (1)

the following subsection:

“(2)  Where the designated area is Pulau 1—

sales tax shall be levied and payable on all goods—

imported into Pulau 1; or

sales tax shall be levied and payable on all goods declared by the Minister under paragraph (a) transported from Pulau 1

to Malaysia as if such transportation to

Malaysia were importation into Malaysia;

no sales tax shall be levied and payable on any goods declared by the Minister under paragraph (a) transported from Pulau 1 to other designated areas or special areas; and

the sale value of taxable goods liable to sales tax in accordance with paragraph (a) or (b)

shall be determined in accordance with subsection 9(2).”.

Amendment of section 54

by renumbering the existing section as subsection (1);

and

by inserting after the renumbered subsection (1)

the following subsection:

“(2)  Notwithstanding subsection (1), where the designated area under subparagraph (1)(a)(iii)

is Pulau 1, no sales tax shall be levied and payable on any taxable goods declared by the Minister under paragraph 50(2)(a) transported from special areas to

Pulau 1.”.