SST for small businesses: the basics

Updated 10 October 2026 · 6 min read

Sales tax and service tax in plain words: who registers, the rates, filing every two months, and what to keep.

Malaysia's Sales and Service Tax (SST) is administered by the Royal Malaysian Customs Department (RMCD). It has two parts, and most small businesses deal with only one of them.

Sales tax and service tax

• Sales tax is charged by registered manufacturers (and on imports) on taxable goods — at 5% or 10% depending on the goods, with some goods exempt.
• Service tax is charged by registered providers of taxable services. The general rate is 8%; a few services are taxed at 6%. The list of taxable services widened from 1 July 2025.

Do you need to register?

For most taxable services and manufacturers, registration is required once your taxable turnover passes RM500,000 in 12 months. Some services have their own, higher thresholds. Check whether your goods or services are taxable, and the threshold for your category, on the RMCD's MySST portal.

Filing

A registered business files the SST return (SST-02) every two months through MySST, and pays the tax by the last day of the month after the two-month period.

How TechnoCount helps

• Tax codes on every invoice and bill line, so each sale and purchase carries the right SST.
• The SST-02 working paper: the figures for your return, by tax code, for the two months — on invoice or payment basis for services.
• The SST-02 listing in the Report Center: every line behind the return, and a check that the listing agrees with the return.