Sales and Service Tax (Royal Malaysian Customs Department)

Question 1

CDM Sdn Bhd was incorporated in January 2011. The company was formed by a group of retired lecturers, who are experts in their respective fields. The objective of the company is to provide professional services in the field of management, engineering, architecture, land survey and legal. The clients of CDM Sdn Bhd comprise of government and private sectors. The company is concerned whether the consultancy services rendered will be subjected to service tax.

Required:

In relation to Service Tax Act 2018, advise the company on the followings:

Whether the company should apply for service tax license.

The rate of service tax.

The taxable period.

Penalty for non-compliance.