SST: How much will the prices of electronic gadgets be affected?
With the abolishment of GST for the past 2 months, Malaysians have been enjoying slightly lower prices for most tech gadgets because of the tax relief. However, that is about to end. In another week, the Sales and Services Tax (SST) will finally come into force on almost every item you buy just like the GST on 1st of September, and the system is still quite vague on how much tax is applied on most items, including electronics. Thankfully now we have a better picture.
According to a document published by the Malaysian Customs, the following items are subjected to the SST:
- Handphone – 5%
- Laptops – 5%
- Digital Camera – 10%
- DSLR Camera – 10%
- Headphone – 10%
- Wrist-watch – 10%
While SST is only implemented during the import process of the item, it would also mean increased cost for the brand and eventually passed down to the consumer, hence we should expect a certain increment in prices of the items mentioned above.
If you have anything in mind you would like to get, doing it before this month ends will be a wise choice. In light of this, sellers and retailers are also holding a lot of big sales before the SST kicks in on September 1st. e-Retailers will be a good start such as Shopee, which is holding a shopping marathon before and after SST, and Lazada.