KUALA LUMPUR, Dec 2 — The Digital Services Tax (DST) recorded RM1.16 billion in collections from January 1 to September 30, while the Low-Value Goods Tax (LVGT) brought in RM300.7 million during the same period, said the Finance Ministry (MOF).
The LVGT’s primary objective is not to generate significant revenue but to safeguard the local business ecosystem.
“It ensures that low-value imported goods are taxed in the same way as locally traded goods,” it said in a written response on the Parliament’s website today.
The MOF was responding to Bera MP Datuk Seri Ismail Sabri Yaakob’s query, who asked for details on revenue collected from new taxes introduced this year, including the LVGT, DST, the Capital Gains Tax (CGT), and the High-Value Goods Tax (HVGT).
It clarified that the CGT, which took effect on March 1, 2024, has not yet yielded collections.
“Actual figures will only be available from July 2025, after companies file their Income Tax Return Forms via e-filing for the current tax year,” the MOF said.
Regarding the HVGT, its implementation remains delayed as the government focuses on other fiscal reforms, like the LVGT, adjustments to service tax rates and coverage, and diesel subsidy retargeting.
“The proposed HVGT will be reviewed alongside the planned expansion of the Sales and Services Tax, as outlined in Budget 2025,” it said.
— Bernama
