KUALA LUMPUR: The Customs Department has urged companies dealing in sweetened drinks to register with the department.
This includes those importing drinks, factories producing the beverages and warehouses storing them.
The move follows the implementation of the sugar tax beginning today.
“The duty excise has to be paid by importers and factories of sweetened drinks. We want to register the companies involved with the sweetened drinks and want companies to come forward to register,” said a department spokesman.
He said factories producing sweetened drinks needed to be licensed under Section 20 of the Excise Act 1976. The license fee for such a factory is RM200 per year.
“A warehouse that keeps the sweetened drinks also needs to be licensed under Section 25 of the Excise Act 1976.
“If the warehouse is in the same factory premises, the warehouse does not need to be licensed. The license fee for the warehouse is at RM2,400 a year,” he said, adding that the department wanted to assure the business community that it need not worry as it was taking a “soft compliance approach” and therefore wanted the companies to make the effort to register themselves.
He also reassured consumers as the sugar tax was only applicable to drinks that were ready to drink, and not those that need to be prepared.
“Canned drinks or bottled drinks that come ready to drink that are made at factories or imported fall into the category of ready-to-drink,” the spokesman said.
The department has also released a guideline and excise duty procedure for the transition period from July 1 to Aug 31.
The guideline will help businesses understand the procedure better during the transition period and is available on the Custom Department’s website at www.customs.gov.my.
For further info, the public or businesses can contact the Custom Department at 1-300- 88 - 8500 or email them at ccc@customs.gov.my.