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Home International Customs

Malaysia Customs delays directive on prepaid reloads

byCustoms Today Report
04/05/2015
in International Customs
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PUTRAJAYA: The Customs Department has postponed its directive to telcos to revert to the original price of pre-paid reload cards without the Goods and Services Tax (GST) included, which was to take effect from tomorrow.

Its director-general, Khazali Ahmad, said this was being done following the Malaysian Communications and Multimedia Commission (MCMC) announcing that the telcos would not be able to reconfigure their systems to exclude the GST by tomorrow.

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“As such the Customs Director-General directive dated April 28 to telcos to revert to the original prices of pre-paid reload cards without the GST is postponed,” he said in a statement here today.

Khazali at a press conference yesterday had announced that from May 1, pre-paid reload cards must be sold at pre-GST prices. For example a reload card with a RM10 value must be sold at RM10 and not with the six per cent GST imposed that brings its cost to RM10.60.

This was because tax at the same rate had already been included at the RM10 price, he said.

MCMC Dr Halim Shafie also in a statement yesterday said the prices (of pre-paid reload cards) could not be changed by May 1 because of the reconfiguration issues.

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