Vape industry players given until April 30 to register with Customs, says Finance Ministry

PETALING JAYA: Vape industry players have been given until April 30 to register vape manufacturing activities with the Royal Malaysian Customs Department, says the Finance Ministry.

In a statement on Sunday (April 2), it said that registration will ensure comprehensive industry compliance with new excise duties for vape liquids and allow tax collection to run smoothly from May.

ALSO READ: Dr Zaliha: Health Ministry to table new bill on regulating nicotine products in May

“Early registration within this specified period may avoid manufacturers from being charged a compound for the offence of late registration.

“This early registration will ensure comprehensive industry compliance and tax collection running smoothly by May 2023,” it said.

ALSO READ: Vape liquids to be taxed from April 1

The ministry added that the licensing registration under the Excise Act 1976 could be done online through the MyExcise System at the link

It also confirmed that the implementation of the excise duty on liquid or gel products containing nicotine used for electronic cigarettes and vapes began on Saturday (April 1).

ALSO READ: Having vape tax without tobacco control law could be disastrous, says NGO grouping

The ministry said that through the gazettement of the Excise Duty (Amendment) Order 2023, an excise duty at the rate of RM0.40 will be charged per milliliter of liquid or gel containing nicotine used for electronic cigarettes and vape.

“With the implementation of this excise duty, the Government will continue to ensure that all regulation and control of excise duty goods by Customs can be improved to avoid leakages of national income.

ALSO READ: Regulating the vape trade

“As promised in the Budget 2023 announcement, half of the excise duty revenue will be re-allocated to the Health Ministry in efforts to improve the quality of health services,” it said.

The ministry noted that with the removal of liquids or gels containing nicotine from the List of Poisons under the Poisons Act 1952, the Health Ministry will present a new Bill to regulate all smoking products including smoking materials which contain nicotine used for smoking purposes.

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