Challenges never cease – managing indirect taxes in a continuously changing environment requires new thinking and innovative approaches. 

Where financial demands continuously drive the need to increase public revenues, in particular, via Value Added Taxes (VAT) and Goods and Service Taxes (GST), businesses are required to meet compliance obligations, drive indirect performance, realize opportunities and manage the challenges resulting from more globalized business models and fast moving legislation around the globe. 

Malaysia is an unique position as it has repealed GST and replaced with a single-stage tax system known as Sales Tax and Service Tax (collectively known as ‘SST’). Sales Tax applies on manufacturers and importation of goods generally at the rate of 10%. Service Tax applies to an exhaustive list of services generally at the rate of 8% (some services are at a reduced rate of 6%).  

Both Sales Tax and Service Tax does not offer input tax credit. Hence both taxes have multiple exemptions with conditions unique to the Malaysian regime. 

We assist clients to maneuver the regime with regards to sales tax on importations, sales tax imposed by manufacturers, service tax on domestic services, service tax on imported services (reverse charge), service tax on digital services (by foreign vendors), exemptions and rulings.    

Our services in Indirect Tax include: 

• Ongoing Operations 
• Tax Compliance and Performance 
• Transactions and Restructuring 
• Business Partnering 

The WTS Indirect Tax Service Line includes experienced tax advisors, professionals with long-lasting in-house experience and former tax authority professionals. Our service offering comprises the whole range of indirect tax services, from the design of tax efficient supply chain structures via the preparation of tax declarations, the assistance in field audits to the representation in administrative appeals and before tax courts. At all stages, WTS Global does not only provide excellent know-how but also applies a business-oriented approach to develop innovative and pragmatic indirect tax solutions for clients across a range of industries. 

The international expertise of our VAT specialists in more than 100 countries has also been recognized by the trade press in three consecutive years.