On 30 April 2020, the Royal Malaysian Customs Department (“RMCD”) announced in a special alert that penalties for late payment of SST for the Taxable periods during the MCO period will be automatically generated in the MySST system. However, RMCD will remit the penalties generated as soon as possible.
The due dates for submission of the returns and payment of SST as well as the date of penalty generated are summarized as follows: -
|Taxable periods||Due dates for submission and payment||Dates of penalty generated|
|January to February 2020||
31 March 2020
|01 April 2020|
|February to March 2020||
30 April 2020
|01 May 2020|
In instances where the payments are made after the respective due dates RMCD will automatically generate late payment penalties. Such penalties are eligible for remission and will be remitted by RMCD.
No application for the remission of penalties is required.
The penalty remission from RMCD is a welcoming move for taxpayers who have found it difficult to remit the SST payment during the MCO period. Furthermore, taxpayers are not required to apply to RMCD for the remission of penalty.