DG'S NEW DECISION ON SIMPLIFIED TAX INVOICE

There a new decision has been made by DG on 2015 regarding to simplified tax invoice.

(i) Section 2 of GSTA defines ‘tax invoice’ means an invoice required to be issued by a taxable person under section 33 of GSTA.

(ii) Any registered person who makes taxable supply of goods or services in Malaysia shall issue a tax invoice containing particulars prescribed in regulation 22 of Goods and Service Tax Regulations 2014 [P.U.(A)190/2014] (GSTR) unless otherwise approved by the DG (section 33(1) of GSTA).

(iii) Section 33(3)(a) of GSTA provides that the DG may approve written application made by a registered person to exclude prescribed particulars subject to conditions as he deems fit to impose. However, the registered person shall include the recipient name and address in the tax invoice upon request by the recipient.

(iv) Simplified tax invoice refers to tax invoice without full particulars prescribed in regulation 22 GSTR and this tax invoice can only be issued by a registered person who has been granted approval by the DG.

(v) Decision DG pursuant to section 33(3)(a) of GSTA gives his approval (blanket) to any registered person who makes a supply to end consumer (not businesses), to exclude following particulars in their tax invoices-

(a) the word ‘tax invoice’ (reg. 22(a) GSTR);

(b) name and address of the recipient (reg.22(e) GSTR);

(c) the total amount payable exclusive of tax.

STEP NEED TO BE TAKEN FOR REGISTER SIMPLIFIED TAX INVOICE

Simplified Tax Invoice -06.02.2012

Kindly be aware that the below step is to register Simplified Tax Invoice :-

1. Logon to your GST Account.

2. Click on your GST No.

3. Under Regustartion Section click on Simplified Tax Invoice.

4. Fill in you Cash & Credit sales (Both percentage add up must be 100% )

5. Choose your business activity weather is :Manufacturing , Wholesale , Retail and Other (If is Other business activity kindly specific your current business activity)

6. Choose the type of invoices your company currently using , next attached your current In use Invoice & sample of Simplified Tax Invoice in soft copy before proceed. (Both Invoices must be in PDF Format)

7.  After you have proceeded to the next step select the particulars section that you wan to be excluded from your business , then, give a reason for why should the particular section that you have selected must be excluded from your business.

 

    

WHAT IS MSIC CODE?

  • MSIC Code is an item code (5 digits) representing your business nature (Major Industry Code). You may find out your code at Malaysia Standard Industrial Classification which can be downloaded from www.statistics.gov.my.
  • MSIC code will be used in Form GST-03 (Item 19) as Major Industries Code. The total GST amount of the respective MSIC Code(s) will be shown. Should the MSIC code is not defined, it GST amount will be shown in the box of "Other".
  • Assign MSIC Code to G/L accounts that affect the value of supplies and Output Tax (which involved tax group of "S")
  • Example of accounts that need to assign MSIC Code are Sales Account, Cash Sales Account, Return Inwards and etc.