GST Implementation

in eClaim system

Human Capital Shared Services Organization,

Group Human Capital Management, Telekom Malaysia

Good & Service Tax (GST) Overview

GST Goods and Services Tax is a
tax on domestic consumption of
goods and services.
GST is paid when:
i. Goods and services are
purchased from GST-registered
vendor.
ii. Goods are imported into Malaysia.
Effective Date: 1st April 2015
GST Rate: 6%
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eClaim items impacted by GST

Items impact with GST
Traveling & Transportation
(Domestic)
Air fare (domestic)
Lodging
Parking
Laundry
Official Attire

GST

Items impact with GST

GST

Allowance
Yes
Yes
Yes
Yes
Yes

Miscellaneous
Broadband
Handphone Bill
CDMA Bill
iTalk
Celular Bill
Club Fee
Professional Membership
Dental

Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes

Medical Examination

Yes

Fuel

Yes

Standby Allowance
Hardship Allowance
Driving Allowance
Climbing Allowance

No
No
No
No

Deduction
Zakat
Tabung Haji
Amanah Saham Bumiputera

No
No
No

Tax Codes
Taxcode

TX

NR

Description

Example

Standard rated purchase from

GST registered vendor

Lodging with receipt from

GST-registered vendor

Non Registered Local Vendor

Lodging with receipt from NonRegistered Vendor

Lodging Without Receipt or
Lodging With Receipt but booked
using Online Services such as Agoda

VX

Not subjected to Malaysian GST

ZP

Zero rated purchase from GST

registered vendor

Airfare to overseas destination

EP

Exempted purchase from vendor

Public Transport, Toll, Dental,

Medical Examination For New Hire

BL

GST paid to vendors which are

blocked for input tax claim

Club Membership

Claim Example
Claim
Amount

GST
Amount

Pay to
Claimant

Broadband Claim

RM66.00

RM3.95

RM69.95

VX

Meal Claim for Non Executive

RM 40.00

RM0 .00

RM40.00

EP

Dental Claim
Medical Examination New Hire

RM500.00
RM150.00

RM0.00
RM0.00

RM500.00
RM150.00

BL

Club Membership Claim

RM100.00

RM6.00

RM106.00

Taxcode
TX

Claim Item

Tax Codes
eClaim will display pre-set
default tax code for each
selected claim item
User may change this default tax
value to other tax code depends
on the situation
For example:
VX (Initial Value) Lodging without receipt

GST Information Required for claim

1)
2)
3)
4)
5)
6)

Vendor GST ID
Vendor Name
Invoice Number
Amount without GST
GST Amount
Supporting Document

* Note:
Claimant & Approver should ensure GST Information Required
for Input Tax Claimable updated correctly to avoid GST Penalty
(to a fine not exceeding RM50,000 or to imprisonment for a
term not exceeding three years or to both)

Sample Tax Invoice

In this tax invoice, it is

clearly displayed the following:
Tax Invoice
Vendor Name
Vendor GST ID
Invoice Number
Amount without GST
GST Amount

Supporting Document

Penalty for incorrect return

Section 88 of GST Act 2014
OFFENCES AND PENALTIES
Penalty for incorrect return
Any person who :
a) Makes an incorrect return by omitting from the return any
information;
b) Understates any output tax or overstate any input tax in a return; or
c) Gives any incorrect information in relation to any matter affecting
his own liability to tax or liability to tax of any other person,
commits an offence and shall, on conviction, be liable
(A) To a fine not exceeding RM50,000.00 OR to imprisonment for a
term not exceeding 3 years or to both; and
(B) To a penalty equal to the amount of tax which has been
undercharged or would have been so undercharged if the return or
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information had been accepted as correct.

Screen Changes
Lodging Claim

Screen before
1/4/2015

Screen after
1/4/2015

Additional
Information

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1) Lodging With Receipt GST Registered Vendor

Default Tax Code: TX Standard Rated Purchase

Default Value:
GST: Yes
Tax Code: TX

Additional mandatory
information
Supporting Document

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2) Lodging With Receipt Non Registered Vendor

Default Tax Code: NR Non Registered Local Vendor

For lodging at:

Homestay
Small Hotel etc
Choose GST: No
Default Tax Code: NR
Supporting Document

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3) Lodging With Receipt Non Local Vendor

Default Tax Code: VX Not subjected to Malaysia GST

For lodging in
Malaysia but booked
using overseas
company such as
Expedia, Agoda etc
Click GST: No
Choose VX
Supporting Document

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Warm Clothes
Default Tax Code : VX
If purchase in Malaysia, change
currency to Ringgit Malaysia (RM).
eClaim will automatically change
default tax code to TX and it is
subjected to Malaysia Goods and
Services Tax.
If purchase oversea, eClaim will
default tax code to VX.
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4) Warm Clothes
Default Tax Code : VX Not subjected to Malaysia GST/
: TX - Standard Rated Purchase

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Non Taxable Purchase

Any purchases in the following
islands will not be subjected to
GST:
Langkawi Island
Tioman Island
Labuan Island

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END

HC SSO helpdesk at 1-800-88-9779 Press 4

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