Tag: Tourism Tax Act 2017

  • Tourism Tax (Compounding of Offences) Regulations 2023

    Tourism Tax (Compounding of Offences) Regulations 2023

    With the Public Prosecutor’s approval, the Ministry has issued the Tourism Tax (Compounding of Offences) Regulations 2023 under the Tourism Tax Act 2017 [Act 791].

    These regulations will come into effect on 2 March 2023 and prescribe certain offences as compoundable, which may be compounded with the written consent of the Public Prosecutor.

    Upon receiving information or a complaint regarding a compoundable offence, the Director General or a senior customs officer may issue an offer to compound the offence in Form 2 of the Second Schedule, with a validity period of 14 days.

    If the sum offered is fully paid within the validity period, no further action will be taken against the offender.

    The person who accepts the offer must return Form 3 of the Second Schedule, and payment must be made by bank draft payable to the Director General.

    The prosecution may be initiated if no payment is received within the specified period.

    The following offences are prescribed as compoundable offences:

    1. all offences committed under the Tourism Tax Act 2017 [Act 791] except for sections 39 and 58;
    2. all offences committed under the Tourism Tax Regulations 2017 [P.U. (A) 228/2017];
    3. all offences committed under the Tourism Tax (Digital Platform Service Provider) Regulations 2021 [P.U. (A) 153/2021].

    The full text of the regulations can be found here:

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  • PR No. 1/2020 – Application for Review

    PR No. 1/2020 – Application for Review

    On July 29, 2020, the RMCD published two new public rulings in the national language on review applications and drawback facilities on imported goods that are subsequently re-exported. Both of these rulings came into effect on that date.

    • Public Ruling No 1/2020 – Review Application
    • Public Ruling No 2/2020 – The application of Section 93 of the Customs Act 1967 and Section 19A of the Excise Act 1976 concerning Drawback Claims

    Amendments to the Public Ruling No. 1/2020

    An amended version of the Public Ruling No. 1/2020 was issued on 19 August 2021.

    The major update the guidance introduces is that the review application is now extended to cover the following legislation:

    • Goods and Services Tax Act 2014 (under Section 124)
    • Tourism Tax Act 2017 (under Section 67)
    • Free Zones Act 1990 (under Section 46)

    Our main topic of discussion for today is Public Ruling No. 1/2020.

    Public Ruling No 1/2020 – Review Application

    Any person aggrieved by a formal written decision from the Director General (DG) of RMCD may make an application for review.

    What decisions of DG are capable of a review?

    • Any formal written decisions of DG made under:
      • Customs Act 1967 (CA),
      • Excise Act 1976 (EA),
      • Sales Tax Act 2018 (SATA),
      • Service Tax Act 2018 (STA);
      • Departure Levy Act 2019 (DLA);
      • Goods and Services Tax Act 2014,
      • Tourism Tax Act 2017; and
      • Free Zones Act 1990
    • Other decisions that are final and conclusive.

    What are the law provisions under which a review application can be made?

    • Section 143, Customs Act 1967;
    • Section 47 Excise Act 1976;
    • Section 96, Sales Tax Act 2018;
    • Section 81, Service Tax Act 2018;
    • Section 59, Departure Levy Act 2019;
    • Section 124, Goods and Services Tax Act 2014;
    • Section 67, Tourism Tax Act 2017;
    • Section 46, Free Zones Act 1990;
    • Regulation 57, Customs Regulations 2019;
    • Regulation 60B, Excise Regulations 1977;
    • Regulation 32, Sales Tax Regulations 2018;
    • Regulation 25, Service Tax Regulations 2018; and
    • Regulation 17, Departure Levy Regulations 2019

    Which decisions of DG are not eligible for review?

    • Compound;
    • Decision pursuant to Section 128(3) of CA;
    • Decision pursuant to Section 67(3) of EA.

    What are the conditions to comply with for a review application?

    • A request for a review must be made within 30 days of the date that DG’s decision was sent to the individual who filed for the review.
    • The same decision made by DG has not been used to appeal to the Tribunal or the High Court.
    • Even though a request for review has been made, any due duty, tax, or levy must be paid first.

    What is the procedure for a review application?

    The application for review must now be made online via http://ereview.customs.gov.my/.

    Some key points that should be noted include the following:

    1. The application form must be filled out completely and signed by the applicant or person authorised by the applicant only. If the applicant is a company, the authorised person must be an officer of the company. Tax agents or lawyers are not allowed to sign the application form on behalf of the applicant.
    2. Ground(s) of the review must be stated clearly.
    3. The supporting documentation that must be attached with the application form are:
      1. the Director General of RMCD’s decisions;
      2. a printed copy of the review form signed by the applicant / authorised person; and
      3. any other document to support the grounds of review (if any).
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  • Tourism Tax (TTx) Policy No. 2/2021 – Extension of Tourism Tax Exemption

    Tourism Tax (TTx) Policy No. 2/2021 – Extension of Tourism Tax Exemption

    1. On 27 December 2021, The Royal Malaysian Customs Department (RMCD) issued Tourism Tax Policy No. 2/2021 to provide guidance and clarification on the extension of the Tourism Tax (TTx) exemption until 31 December 2022, as revealed in the Budget 2022 speech.

    2. Despite the exemption from TTx, registered accommodation operators are still required to comply with the Tourism Tax Act 2017 and the Tourism Tax Regulations 2017 by submitting the TTx-03 return per their taxable periods, as stipulated in the policy.

    3. Join our Telegram – https://t.me/YourAuditor 🌻🌻🌻🌻🌻🌻🌻🌻 1. 2021年12月27日,马来西亚皇家关税局 (RMCD) 发布了第2/2021号旅游税政策,为2022年财政预算案提呈时所透露的旅游税 (TTx) 豁免延长至2022年12月31日提供指导和澄清。

    2. 尽管旅游税豁免了,但注册住宿经营者仍需遵守《2017年旅游税法令》和《2017年旅游税条例》,按照政策规定,在每个应税期 [Taxable Periods] 提交 TTx-03 报表。

    3. 加入 Telegram 群 – https://t.me/YourAuditor 🌼🌼🌼🌼🌼🌼🌼🌼🌼🌼

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