The document discusses the implementation of the Goods and Service Tax (GST) in Malaysia which will replace the existing Sales Tax and Service Tax. Some key points: - GST will be effective on April 1, 2015 at a rate of 6% to replace the current Sales Tax of 5% and Service Tax of 10%. - GST is a single tax on goods and services that is modeled after the Value Added Tax (VAT) used in over 150 other countries. - The goals of implementing GST include reducing the tax burden on consumers, making businesses more competitive, and enhancing tax compliance.

1. NUR ZAFIRAH BINTI ZAMRI 57275113627
NUR SAKINA BINTI ZAKARIA 57275113578
NUR SHAZLINA BINTI YUSOFF 57275113513
NUR HIDAYATUL AZIRA BINTI NOR AZMAN 57275113649
NUR FARHANA BINTI SAIDIN 57275113794
JLB 21803
CUSTOM,EXCISE
AND FORWARDING
BIL 14/1

2. GST
GOODS &
SERVICE
TAX
”In this regard, the Government proposes that the sales tax and service tax
be abolished. These two taxes will be replaced by a single tax known as the
Goods and Service Tax (GST). I must stress that GST is not a new tax.” by
Prime Minister Datuk Seri Najib Razak on excerpt of Budget 2014
The concept of GST
was invented by a
French tax official
in 1950s. Roughly
90 per cent of the
world’s population
live in countries
with VAT and GST.
GST will effective on
April 1st 2015 at rate
6% because before
this Sales Tax (5%)
plus Service Tax
(10%). VAT or GST
now exists in 156
countries with
different rate

3. GST CALCULATION

4. GOODEFFECTOF
GST
CONSUMERS
BUSINESSESGOVERNMENT
Tourist Refund
Scheme
Reduce Cost of
doing business
Transparent
Pricing
Relieve Tax
Burden of
Consumer
Enhance
ComplianceExport become
Competitive

6. The government should create a
method or mechanism of collecting
taxes
•It will be subject to the manufacturers,
wholesalers and retailers without prejudice to the
user because all the taxes that are applied when
the majority is borne by the end user directly or
indirectly.
The government needs to reduce
unnecessary expenses, waste,
leakage
•Causes an increase in the cost of managing the
government as a cost-cutting government
spending will cause the government needed
revenue that is not too much to cover the costs
inherent in administering.
•Indirectly it will reduce the tax burden that had
to be collected from users.
Taxation of tobacco, alcohol and
petroleum products
It has also recommended that tobacco, alcohol and
emission fuels should be subjected to both GST and
excise. Industrial fuels should be subject only to the
GST with full benefit of input tax credits.
The government needs to review the
reasonableness of the rate of 6% as an
initial rate of GST.
•That the poor would feel overburdened with GST rate
that is too high. This was due, among people of
different salary and for family expenses will be limited
due to the GST rate is too high.
•it will give rise to a misunderstanding between the
people and the government when the government
imposes GST at the rate of 6%.