Samenta Urges Putrajaya to Rethink SME Tax Threshold

PUTRAJAYA, June 10, 2025 – The Small and Medium Enterprises Association Malaysia (Samenta) has called on Putrajaya to reconsider the threshold for SMEs ahead of the Sales and Service Tax (SST) revision starting July 1. Samenta president William Ng urged the exemption of micro and small enterprises, as defined by SME Corp, from the tax changes to protect profitability and consumer prices. Alternatively, he proposed raising the annual turnover threshold from RM500,000 to RM2 million, ensuring only medium and larger businesses are taxed. The government’s plan expands Service Tax to rentals, construction, and more, targeting increased revenue.

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