Unleash your business! 

Tell us what you need and we'll align your solutions. 

Follow us on social media 

  • LinkedIn - White Circle
  • White Twitter Icon
  • Instagram - White Circle

Address

Mahzan Sulaiman PLT (LLP0004951-LCA) (NF 1381)

No. 2A, Jalan USJ 11/3J

Subang Jaya

47610 Selangor

Malaysia

 

Email

info@mahzansulaiman.com

 

Phone

+603 5636 1868

 

Are you aware of the Reverse Charge of GST on Imported Services?

July 7, 2017

A Malaysian business that procures a service from a supplier that is based overseas is liable and must account for the output GST on that service if consumed locally. Imported services include (but not limited to) intellectual property, software licenses, consultancy services and acquisition of intangible rights from a supplier that is located overseas.

 

This output tax must be accounted for at the earlier of (i) when payment is made or (ii) date of invoice.

 

If the recipient of the imported service is a GST registered business, the amount of output tax incurred on the imported service can be claimed as input tax credit  in respect of the imported service, during the taxable period in which the Malaysian business holds evidence of payment to the overseas supplier OR an invoice from the overseas supplier.

 

If the recipient of the imported service is not a GST registered business, it will need to account for the GST on imported service and not be entitled to claim input tax credit on that GST.

 

If the imported service was procured for non-business activity, the recipient is not liable to GST on the supply of imported services received.

 

Please contact us at info@mahzansulaiman.com for further information and to ensure that you are compliant.

 

 

Share on Facebook
Share on Twitter
Please reload

Recent Posts

November 25, 2019

Please reload

Archive

Please reload

Follow Us

  • Grey Facebook Icon
  • Grey Twitter Icon