The Malaysian Automotive Association (MAA) has requested for the ongoing SST exemption to be extended by another six months, which is currently set to expire on 31-December 2021.
For context, the Government made a surprise announcement back in December 2020, announcing that the SST exemption was to be extended to June 2021, a six-month extension from its original December 2020 deadline.
Also Read: Surprise U-turn sees government extending sales tax (SST) exemption/discount to June 2021
Currently, the SST exemption applies to locally-assembled (CKD, 100% exemption) and imported (CBU, 50% exemption) passenger cars. Sorry, but if you’re shopping for a brand-new pick-up truck, the SST exemption does not apply.
Also Read: What are the SST-exempt, CKD cars you can buy in Malaysia in 2021?
As reported by Pandulaju, MAA’s president Datuk Aishah Ahmad suggested the SST exemption based on the current situation.
MAA made this request after the Government deployed the Full Movement Control Order (FMCO) back in June and the National Recovery Plan Phase 1 (NRP), forcing much of the automotive industry to temporarily close down.
The prolonged lockdown has hurt the automotive industry as a whole, causing a loss in revenue for many car dealerships, with some forced to close their business if the lockdown continues.
Also Read: MAA: Even big dealerships will close by Oct if closure continues