Businesses to be penalised for late registration
With the deadline for GST registration over, the Malaysian Customs has begun imposing penalties for businesses that have not registered for GST within the stipulated deadline of 31 December 2014. The penalty is a graduated penalty, the quantum increases by RM50 every 20 days until April 1 when the GST kicks off, and the maximum penalty can go up to RM15,000.
Director of GST Datuk Subromaniam Tholasy said that the Customs will be force-registering those businesses that had yet to register for GST, citing that the department had the data of these businesses. However, businesses in Kelantan, Terengganu and Pahang have been given an extension until January 31 to register due to the flood problems in these states.
Subromaniam also clarified that the reason they wanted businesses to register early was so that the businesses could be divided according to sectors, and then taken into a hand-holding programme and trained on the GST.
Finally, he mentioned that income tax deduction under the Accelerated Capital Allowance and a further deduction for the ICT equipment and GST training was available for businesses that have registered for GST.
Source: The Star, 19 January 2015
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