What are the taxable and non-taxable services in Malaysia? (Part V)
Taxable persons and services under the Second Schedule of the Service Tax Regulations 1975 are:
Group G: Other service providers
1. Insurance companies registered under the relevant laws for the time being in force.
- all types of insurance policies to all business organisations;
- individual insurance policies paid by employers;
- transfer ownership of insurance policy except collateral assignment of the individual policy to a bank;
- investment linked single premium policies to protect interests of companies' directors or managers;
- insurance policies issued to joint management councils to insure business premises;
- insurance policy services related to oil and gas exploration activities in Malaysia including offshore.
- personal insurance;
- personal investment linked single premium policies;
- insurance policies to cover risks outside Malaysia;
- insurance policies issued to joint management councils to insure residential premises;
- insurance policies to cover risks relating to the international transportation of goods:
- from a place outside Malaysia to a place outside Malaysia;
- from a place within Malaysia to a place outside Malaysia; or
- from a place outside Malaysia to a place within Malaysia;
and insurance policies to cover risks relating to transportation of goods within Malaysia that forms part of the transportation to/fro outside Malaysia where the coverage is provided by the same person;
- export credit insurance policies to local exporters, banks or investors to cover risks outside Malaysia relating to the export of goods, services or investments;
- insurance policies for education institutions or religious bodies.
|2. Communication services providers registered or licensed under the Communication and Multimedia Act 1998 [Act 588]
- telecommunication services in the form of telephone, facsimile, telemail, paging, cellular phone (postpaid and prepaid), telex, bandwidth service or value added services;
- domestic roaming services;
- public phones using calling cards or credit cards;
- subscription fees for paid television broadcasting services.
- bandwidth services (ISDN, leased line, data transmission) for infrastructure, resale or internet;
- coin-operated public phones;
- voice over internet protocol (VOIP);
- internet services such as TMNet and Streamyx;
- web hosting or server co-location services;
- internet protocol television (IPTV).
||Service tax will be abolished on March 31, 2015 with the implementation of Goods and Services Tax (GST) on April 1, 2015.
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