SST exemption ends today – ensure all your booking details are correct, no changes can be made by July 1

It’s June 30, which means this is the last day for anyone to book a vehicle if they’re looking to take advantage of the sales tax exemption, which finally comes to an end as scheduled today after being extended three times since it was announced on June 5, 2020.

Of course, the joy is being stretched, as the government has made an allowance for the SST exemption to be applied for any vehicle booked before July 1 and with a sales invoice and registration completed before March 31, 2023. There is however a criteria for buyers to meet for the entitlement of the SST exemption.

Vehicles that are eligible for the exemption are passenger vehicles (including MPVs and SUVs), and covers both CKD locally assembled (100%) and CBU imports (50%) as well as used CBU imports (grey) that have a manufacturer invoice / K1 form dated from June 15, 2020 to March 31, 2023, according to a memo issued by the ministry of finance on June 22.

Of more importance to the end user, or buyers, is ensuring that the bookings are completed by today. There are also other points that must be adhered to, as gleaned from internal circulars as well as from various industry sources.

SST exemption ends today – ensure all your booking details are correct, no changes can be made by July 1

For one, buyers need to ensure that all information on the booking form is accurate, so please make sure your name and details are correct when you make a booking (and it doesn’t hurt to check the details on an existing booking, just to be sure).

Also, take note that the booking and registration of the vehicle must be made by the same customer (as per name and IC number), because as we have been made to understand it from industry sources, all booking forms and information will be submitted to the ministry of finance.

So, this means you won’t be allowed to change the booking ownership (customer name) to your spouse or other family members after today if you want to enjoy the SST exemption – everything has to tally in the system chain, regardless of any external conditions.

If you can’t get a loan approved for the purchase, you can’t switch names, which means the SST exemption can’t be gained (unless you find some other means to get the necessary amount). This also means you can’t book for fun and “scalp” your booking slot, which we’re sure many have been eyeing.

SST exemption ends today – ensure all your booking details are correct, no changes can be made by July 1

Also, the registered model must be the same as per the final booking as listed in the seller’s system by today, June 30. You can’t change your mind on a model, like booking a sedan and then deciding you’d like an SUV instead. Doesn’t matter if it’s from the same brand – the rule on this is specific.

As we understand it, it even works down to the variant, which means if you book a mid-spec, you can’t change your mind later to get a high-spec variant, for example. This also applies to the choice of exterior colour, according to customs and excise requirements. Do check all these salient points with the dealership or company you are buying the car from.

If you’re heading to dealerships to make that last ditch booking, good luck. Malaysians being the way they are, we expect that showrooms will be busy right into the evening – and in some cases, night – today.