5% service tax? Know your rights!

Report to the authority if they charge you the 5% service tax. Some name may be unfamiliar to you since it's the holding company

ALL RESTAURANT OWNERS WITH AN ANNUAL SALES TURNOVER EXCEEDING RM3 MILLION MUST BE LICENSED UNDER THE SERVICE TAX ACT 1975.

PLEASE ENSURE PAYMENT OF SERVICE TAX IS MADE TO RESTAURANT OWNERS LICENSED UNDER THE ROYAL MALAYSIAN CUSTOMS.

1. The public can decline to pay service tax to restaurant owners who fail to display their service tax license issued by the Royal Malaysian Customs.

2. The public have the rights to demand for receipts or invoices indicating that the 5% Service Tax payment or 5% tax inclusive payment has been made.

3. The public can make cross references of the list of restaurants licensed under the Service Tax Act 1975 in the Customs website at www.customs.gov.my or with the State Customs Director / Head of the Internal Revenue Division at the respective states' Customs offices.

4. The public can submit their complaints / suggestions to the Customs Department via these e-mail addresses: cd@customs.gov.my or kastam@customs.gov.my to the Head of the Internal Revenue Division at the respective states' Customs offices.

5. The public can obtain and download service tax information / guidelines from the Customs website at www.customs.gov.my under the heading "Internal Revenue" with the sub-heading "Service Tax".

6. Please be informed that failure to obtain a service tax license and issuing invoices, if convicted, can lead to a fine of RM5,000 or jail term of not more than 2 years, or both.