Government Announces No SST Extension

Ministry of Finance (MOF) announces SST exemption for passenger cars in Malaysia will end by June 30,2022 which has been changed thrice since Dec 31, 2020.

In the meantime, the government declares new vehicle registration period to be extended. 

This allows eligible buyers to enjoy tax incentives by registering their vehicles at the Road Transport Department (JPJ) before March 31, 2023. 

According to finance minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, the extension of the registration period is a midpoint solution to balance the interests of consumers and the country's tax revenue that has increase during post-pandemic.

"This is to ensure the wellbeing of the people and the country's economy continues to be preserved," he commented. 

He also mentioned that 868,422 vehicles were sold during the period collecting a tax exemption worth RM4.7 billion.

Due to global chip shortage, there are still demands could not be feed and a total of 264, 000 units of booked vehicles are still under installation and cannot be delivered to customers.  

The SST exemption is implemented as part of the PENJANA package which aims to reduce the impact of the Covid outbreak.