KUALA LUMPUR: The Communications and Multimedia Consumer Forum of Malaysia (CFM) is confident that all players in the communications and multimedia sector will ensure the smooth and efficient implementation of the Goods and Services Tax (GST).
It said mobile communications services is a standard rated item under the GST Act 2014.
As it is neither GST exempt nor zero rated, the CFM said the industry is required to charge the six per cent under the consumption tax.
“Effective today, the six per cent Service Tax on postpaid services will be replaced by the six per cent GST,” said the CFM in a statement today.
For prepaid services, the prices and corresponding airtime for SIM Packs, Starter Packs and Reload Coupons are maintained, it added.
“However, as per the GST Act 2014, telcos are required to charge six per cent GST on top of these prices,” said the CFM.
It pointed out that the government had classified international roaming services provided by all Malaysian telecommunication companies as zero-rated supply.
“Thus, all international roaming services will not be subject to the GST,” said the CFM.
It also noted that the six per cent GST would also be applied on mobile devices such as tablets and smartphones, certain contents, applications and other telecommunications products and services.
“The CFM will continue to ensure the interest and rights of the consumers in the telecommunications and multimedia sectors is looked after through the General Consumer Code of Practice for the Communications & Multimedia Industry,” it added.
In view of the mandatory GST implementation, the CFM has made a set of Frequently Asked Questions available to customers via its website, www.cfm.my and Facebook address consumer.forum.malaysia.
“Consumers are advised to contact their respective service providers for specific enquiries on the implementation of GST,” said CFM.
The CFM was established and designated by the Malaysian Communications and Multimedia Commission (MCMC) in 2001.
It is a platform for the industry and public to make coherent and constructive contributions to service improvements and policy development.--BERNAMA