Banking Associations: Expansion of Service Tax Not Affecting Core Banking Transactions

Banking associations: Expansion of service tax not affecting core banking transactions

KUALA LUMPUR: The upcoming expansion of the service tax scope, which comes into effect on July 1, will not affect basic banking services. © New Straits Times Press (M) Bhd

Expanded SST will not affect basic services, say banking associations

PETALING JAYA: Banking associations have reassured the public that the upcoming expansion of the service tax which on July 1, 2025, will not affect commonly used basic banking services. Read full story

ABM: SST Not Applied To Transfers, E-Wallets, Card Fees, ATM Use

Basic banking services involving fees or commissions will not be subjected to the Sales and Service Tax (SST), according to a clarification issued by several banking associations on 26 June 2025. This includes charges related to current accounts, savings accounts, and e-wallets.  The notice adds that among the exempted services are fees for cash deposits, withdrawals, payments, and local fund transfers. Transactions conducted at bank branches or…

Service tax expansion won’t affect everyday services, say banking groups

They say the July 1 tax revision targets only corporate and investment services.