Prepaid top-ups tax-exempt, so telcos must give users full value

  • Nation
  • Wednesday, 05 Sep 2018

PETALING JAYA: The Finance Ministry has called on telecommunication companies to abide by its rule that all prepaid mobile phone reloads are exempted from the Sales and Service Tax (SST).

It said through this exemption, prepaid mobile phone customers should get their full value credit when topping up as it would no longer be taxed.

"All telecommunication companies have to take immediate action to comply with the tax-exemption notice," the Ministry said in a statement on Wednesday (Sept 5).

It said Finance Minister Lim Guan Eng had already notified telecommunication companies supplying prepaid mobile phone services to Malaysians of the exemption, but it was issuing the notice to ensure the directive was complied with.

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