Notice of Service Tax Rate Changes

Greenpen Freight Services Sdn. Bhd. is designated as Group J, Logistics Services under the newly proposed changes to the Service Tax Law  as per to  Budget 2024 announced by the Minister of Finance.

The proposed changes in the Service Tax law are the creation of taxable services, given as Group J.

The logistics services include, but are not limited to:

• Supply chain management services, port and airport management
• Warehousing or warehousing management: handling services, loading/unloading, picking/packing, and security
• Freight forwarding: customs clearance, handling, bulk/consolidation, import/export documentation, and insurance
• Shipping: sea freight, shipping local charges, terminal charges, documentation and EDI charges, and other related charges
• Air freight: loading/unloading, handing service, storage, inspection, and documentations
• Cold chain facility
• Delivery or distribution or transportation of goods

All services provided under the new category are subject to 6% service tax effective on or after 1 March, 2024.

Please note that the date and details above mentioned are an advisory to the upcoming changes in law. In the event, that the above legislation changes or, further guidance from the Government of Malaysia is released, we will continue to apply service tax based on the current laws.

We appreciate your understanding as we transition to the new regulation.

If you have any questions or comments , please contact us by emailing pklfwdbiz@gfs.com.my

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Last updated 7-Feb-2024