Selangor Journal

Selangor Local Authorities confirm Customs fails to pay GST debts

PETALING JAYA, JUL 11: The Petaling Jaya City Council (MBPJ) has confirmed the claim that the Malaysian Royal Customs Department (Customs) has failed to settle payment of the goods and service tax (GST) balance to the local authority.
Its Mayor, Dato’ Mohd Azizi Mohd Zain believes the delay is due to complicated documentation process and other issues from the Customs.
“There is indeed an arrear, Customs has not paid (in full).
“I suppose the delay is due to the process and issues such as incomplete documents which complicate the process.
“This is only my view, however, I leave it to Customs. It’s is best to ask them,” he said to reporters when met at the MBPJ Monthly Assembly at Dewan Auditorium today.
Mohd Azizi was asked to comment on the revelation made by Balakong Assemblyman, Eddie Ng, on the balance payment arrears for September 2016 to June 2017.
Media reported that Customs still owes RM36 million to 12 local authorities in Selangor where the payment should have been made within 28 days after the claim is made.
The outstanding amount for Selangor local authorities include for Shah Alam City Council RM5.99 million, Klang Municipal Council (RM5.6 million), Petaling Jaya City Council (RM3.24 million), Kajang City Council (RM5.1 million), Ampang Jaya Municipal Council (RM5 million), Selayang Municipal Council (RM4.1 million) and Subang Jaya Municipal Council (RM2.7 million).
Besides that, Sepang Municipal Council (RM2.1 million), Kuala Langat District Council (RM688,457), Hulu Selangor District Council (RM725,319), Sabak Bernam District Council (RM447,181) and Kuala Selangor District Council (RM198,040).
Based on Section 64, Goods and Services Tax (2014), Act 762, GST does not apply on supply of goods and services by Federal Government and State Government unless directed otherwise by the Minister through a publicised order.

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