Booked a car before June 30, 2022? You have until March 31, 2023 to register it for SST exemption

Booked a car before June 30, 2022? You have until March 31, 2023 to register it for SST exemption

Did you book a car before the end of the sales tax exemption period on June 30, 2022? Well, this is a reminder that you only have until March 31, 2023 to get your vehicle registered in order to enjoy the tax savings.

Back in June 2020, the previous government announced a 100% sales tax exemption on locally-assembled (CKD) models and 50% on fully-imported (CBU) models, with the initial exemption period being from June 15 until December 31 the same year.

The deadline was extended three times since then, with the first being until June 30, 2021, the second until December 31, 2021, and the third until June 30, 2022. However, due to global supply chain and production issues, many customers were unable to receive their cars in time.

As such, an allowance was given for the sales tax exemption to be applied for any vehicle booked before July 1 and with a sales invoice and registration completed before March 31, 2023. This is subject to a key requirement: eligible vehicles must have a manufacturer invoice/K1 form dated between June 15, 2020 to March 31, 2023.

Booked a car before June 30, 2022? You have until March 31, 2023 to register it for SST exemption

Buyers must also ensure that all information on the booking form is accurate and they are not allowed the change the booking ownership (customer name) to another person. Put simply, whatever that is stated in the booking form is final and cannot be changed, including the registered model and variant. This also covers loans, and if you can get an approval, you can’t switch names and won’t gain the tax savings.

With just over a week to go until the registration deadline, customers will be eager to get their vehicles and sales advisors will be rushing to make it happen. The end of the sales tax exemption last June has naturally seen the prices of vehicles go up, with the exception being commercial vehicles that are not eligible for the sales tax cut.

Some car companies like Perodua have said that they will absorb the sales tax even if the car is delivered after March 31, 2023, provided they made the booking before June 30, 2022, which is encouraging new for the company’s customers. Have you benefitted from the sales tax exemption or are you still waiting and hoping to get your car before the deadline to enjoy the tax savings?

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Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard’s strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • newme on Mar 23, 2023 at 10:05 am

    I hope this tax exemption go away fast.

    Automakers are trying to fill in orders fast at the expense of quality.

    A very good example is LEAKING OIL FILTER where faulty oil filters are still being used despite the problem was known to the automaker management for many many months.

    Like or Dislike: Thumb up 11 Thumb down 6
    • Speaker Y on Mar 23, 2023 at 10:34 am

      Where is your proof? Tarik balik kenyataan yang tak ada kesahihan itu.

      Like or Dislike: Thumb up 2 Thumb down 1
    • Syafirah on Mar 23, 2023 at 10:57 am

      House bought 3 cars, all sound and good.
      Hehehe

      Syukur Gomen sponsor during bad covid time.

      Like or Dislike: Thumb up 4 Thumb down 0
    • Oil filter of what?..your house kitchen ah?

      Like or Dislike: Thumb up 0 Thumb down 0
    • Ajibkor on Mar 23, 2023 at 11:44 am

      How much is a leaking oil filter?2-3 thousands RM? Unless r talking about defective gear or engine.I rather get the SST savings..

      Like or Dislike: Thumb up 2 Thumb down 0
      • newme on Mar 23, 2023 at 2:20 pm

        Not everyone well verse with car. There are owners with leaky oil filter ended up with empty engine oil thus damaging the engine.

        Like or Dislike: Thumb up 0 Thumb down 0
  • Yes, I did. But got conned by Perodua when car was delivered.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Ground europe passenger on Mar 23, 2023 at 3:27 pm

    Habis sst diskaun x50 exec terus naik rm10k, sekarang kat proton ready stock overflow. Bayar booking satu minggu ambil kereta.

    Like or Dislike: Thumb up 0 Thumb down 0
 

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