KUALA LUMPUR: The government, which is drafting a new legislation to implement the High-Value Goods Tax at a rate of 5-10 per cent for certain high-value items, aims to increase its revenue by imposing the tax on the rich who can afford such products, said Deputy Finance Minister I Datuk Seri Ahmad Maslan.
“However, the tax will not be imposed on tourists in order to promote inbound tourism,” he said in the Dewan Negara today in reply to a question from Senator Datuk Dr Arman Azha Abu Hanifah who wanted to know the Finance Ministry’s tax reform plans for next year.
Ahmad said that under Budget 2024, the government will also implement a capital gains tax at a rate of 10 per cent on gains from the disposal of unlisted shares effective March 1, 2024, and this only involves corporate taxpayers. The tax is expected to generate an estimated annual revenue of RM800 million.
He also said the service tax scope under the Service Tax 2018 will be expanded to include karaoke centre services, brokerage and underwriting services for non-financial services, and logistics services.
In addition, the service tax rate will be raised from six per cent to eight per cent for all taxable services except food and beverage, telecommunications, carpark and logistics. Revenue from this tax is expected to add RM3.45 billion to the government’s coffers for 2024, he said.–Bernama
