Exemptions; classes of goods
The Minister may by order exempt, subject to such conditions as he may deem fit to impose, any goods or class of goods from the whole or any part of the sales tax, or any person or class of persons from payment of the whole or any part of the sales tax, which otherwise would have been payable.
Materials for manufacturers to be tax free
(1) Where any licensed manufacturer acquires taxable goods from another licensed manufacturer, such first mentioned manufacturer may acquire such goods as may be approved by the Director General free of sales tax provided such person is authorized by the Director General and subject to such conditions as may be prescribed, to acquire such goods free of sales tax. (2) Where a licensed manufacturer imports taxable goods, such manufacturer may import such goods as may be approved by the Director General free of sales tax provided such person is authorized by the Director General to import such goods free of sales tax, subject to such conditions as may be prescribed. (3) Where a person who is not licensed imports taxable goods on behalf of and for delivery to a licensed manufacturer, such person may deliver such goods as may be approved by the Director General free of sales tax provided such person is authorized by the Director General to import such goods on behalf of and for delivery to a licensed manufacturer free of sales tax, subject to such conditions as may be prescribed. (4) Where a person who is not licensed acquires taxable goods from a licensed manufacturer on behalf of and for delivery to another licensed manufacturer, such person may acquire and deliver such goods as may be approved by the Director General free of sales tax provided such person is authorized by the Director General to acquire such goods from a licensed manufacturer on behalf of and for delivery to another licensed manufacturer free of sales tax, subject to such conditions as may be prescribed. (5) Where a licensed manufacturer requires another licensed manufacturer to complete the manufacture of taxable goods, the first mentioned manufacturer may acquire back such goods as may be approved by the Director General free of sales tax, provided such manufacturer is authorized by the Director General to acquire back such goods free of sales tax, subject to such conditions as may be prescribed and for the purpose of this Act such goods shall be construed as being manufactured by the first mentioned manufacturer. (6) Where a licensed manufacturer acquires taxable goods which are deposited or kept in a customs warehouse or a warehouse licensed under section 65 of the Customs Act 1967, such manufacturer may acquire such goods as may be approved by the Director General free of sales tax, provided such manufacturer is authorized by the Director General to acquire such goods from a customs warehouse or licensed warehouse free of sales tax subject to such conditions as may be prescribed. (7) Any approval and authority granted under subsection (1), (2), (3), (4), (5) or (6) may be withdrawn at the discretion of the Director General at any time.
Powers of Minister to exempt and refund
The Minister may, in any particular case, subject to such conditions as he may deem fit to impose— (a) exempt any person or class of persons from the payment of the whole or any part of the sales tax which otherwise would have been payable by such person or such class of persons; (b) direct the refund to any person or class of persons of the whole or any part of the sales tax paid by such person or such class of persons; or (c) direct the refund to any person or class of persons of the whole or any part of the penalty paid by such person or such class of persons.
Failure to comply with condition subject to which exemption or refund was granted
If— (a) any goods in respect of which an order has been made under section 8 are subsequently disposed of contrary to any condition to which such exemption was made subject; or (b) any person to whom an exemption has been granted or refund directed under this Part fails or ceases to comply with any condition subject to which such exemption was granted or refund directed, as the case may be, then such sales tax shall be payable and any person found in possession of such goods, or the person to whom the exemption was granted, or refund has been directed, shall be jointly and severally liable to pay such sales tax.
Provisions on this page are reproduced verbatim from official open data. See the attribution line.
Text as at 1 November 2012 (LOM reprint); amendments made after that date may not be incorporated. Read the official text ↗
Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).