Malaysia changes

The low value goods GST (de minimis) threshold in Malaysia applies to all goods with a total CIF (cost, insurance, freight) value not exceeding RM500 per consignment, excluding cigarettes, tobacco products, intoxicating liquor, smoking pipes (including pipe bowls), electronic cigarettes and similar personal electric vaporizing devices, and preparation of a kind used for smoking through the electronic cigarette and electric vaporizing device, in forms of liquid or gel, not containing nicotine.

This threshold is applied to transactions that are transported via airline. To support de minimis determination based on the shipping transportation type, AvaTax provides theModeOfTransport parameter. This parameter allows users to specify the mode of transportation for goods when running VAT calculations.

For VAT calculations in Malaysia, the de minimis threshold will get applied to transactions that are transported viaair. Note that items transported viaair include transport via air courier service and postal service. If any other value is specified, or if this is left blank, then AvaTax will run the transaction, but the de minimis threshold will not apply.

"parameters":[
  {
    "name":"ModeOfTransport",
    "value":"air",
    "unit":""
  }
]

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