Online Sales Tax on Low Value Imported Goods Will Be Introduced this April 1st


 During Budget 2023, the government announced that for the purchase of imported goods online, the buyer will be taxed even if the value of the goods is below the price level of RM500.


Recently, the government has confirmed that the value of the tax has been set at 10 percent of the selling price of the goods if they are imported from abroad.


This tax will be applied to the selling price of the goods, and not to the delivery charge by the seller. This tax will also be introduced for all online sales imported from abroad starting 1 April 2023. So if the purchase is made before 1 April 2023, but delivered after that date, this sales tax will not be applied to the product.


Apart from that, the government has also released a list of items that will not be taxed, including:


Cigarettes

Tobacco products

Tobacco pipe

Vape

Vape liquid

Alcohol

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