SST registration and SST-02 filing: threshold, rates and deadlines made clear
Since the service tax scope widened in July 2025, many businesses that never had to think about SST need to check again. The bookkeeping team works out the threshold, helps with registration, prepares SST-02 every two months and reminds you before the deadline.
In Malaysia, if your service is a taxable category, most services must register for service tax once turnover reaches RM500,000 within 12 months. The general rate is 8%, with 6% for some services. After registering, you submit SST-02 every two months, due by the last day of the following month. BookKeeper helps you check the threshold, assists with registration and prepares SST-02, from RM150 per period.
- If your service is a taxable category, the registration threshold for most services is RM500,000 in turnover over 12 months.
- The general service tax rate is 8% (from 1 March 2024); food and beverage, telecommunications, parking and logistics are at 6%.
- From 1 July 2025, service tax covers more categories, including parts of commercial rental, construction, beauty and private education.
- SST-02 is filed every two months, submitted and paid by the last day of the following month.
- SST-02 filing starts from RM150 per period, six periods a year.
The statement that made you look at your turnover twice
Say you run a design studio in Subang. Work has been steady these past few years, and one day while checking your accounts you add up the last 12 months of income: RM480,000.
Two more projects and you pass RM500,000. You start wondering: do you add 8% to your invoices then? Should you change quotes for existing clients? Where do you register?
The biggest risk with SST is thinking "I'm not there yet". By the time you notice you have crossed the threshold, you may have missed charging tax for several months, and that amount usually comes out of your own pocket.
What is SST? How is service tax different from sales tax?
SST is Malaysia's Sales and Service Tax, administered by the Royal Malaysian Customs Department, and it has two parts: service tax and sales tax. Service tax: tax on turnover from providing taxable services, generally 8%. Sales tax: tax on taxable goods manufactured or imported, at 5% or 10%.
Most SME service businesses deal with service tax. Sales tax mostly affects manufacturers and importers. SST-02: the return that registered businesses submit to MySST every two months.
| Item | Details |
|---|---|
| General service tax rate | 8% (from 1 March 2024) |
| Services taxed at 6% | Food and beverage, telecommunications, parking, logistics |
| Sales tax | 5% or 10%, depending on the goods |
| Registration threshold | For taxable service categories, mostly RM500,000 within 12 months; some newly added categories have different thresholds |
| Wider scope | From 1 July 2025, including parts of commercial rental, construction, financial services, beauty and private education |
| Filing | SST-02 every two months, submitted and paid by the last day of the following month |
The July 2025 expansion is why many service businesses need to check again. If you are in commercial rental, construction, beauty or private education, you may have been outside SST before, but some of these services are now covered. Confirm the SST and tourism tax treatment for homestays and rentals with MySST and an accountant. Which services are covered and what the thresholds are follow the latest MySST announcements. Ask an accountant to confirm your position using your company's details.
Does my business need to register for SST now?
If your service is a taxable category and your taxable turnover over the past 12 months, or expected over the next 12 months, reaches RM500,000, you generally need to register. The table below gives a first assessment. The final answer comes from MySST and your accountant.
| Your situation | Usual approach |
|---|---|
| Not a taxable service category | No need to register for service tax, but check once a year whether your business has changed |
| Taxable service category, 12-month turnover well below RM500,000 | No need to register yet; check cumulative turnover every quarter |
| Taxable service category, close to RM500,000 | Start preparing registration documents and adjust invoices and quotes in advance |
| Taxable service category, already above RM500,000 | Confirm the registration effective date quickly and work out whether any tax was not charged |
| A category added in July 2025 | The threshold may differ; confirm item by item against MySST announcements |
What does the SST service include?
Threshold check
Based on your taxable turnover over the past and next 12 months, we assess whether you have reached, or will soon reach, the registration threshold.
Registration help
We prepare the documents, help you register on MySST, and confirm the effective date and your first taxable period. Registration help is quoted separately.
Invoice changes
We remind you to show service tax, the rate and your registration number on invoices, with 6% and 8% items kept separate.
SST-02 preparation
Every two months we pull taxable sales from your accounts, calculate the tax payable and prepare SST-02 for you to approve before submission.
Matched to your accounts
SST payable is recorded in your accounts, so the SST-02 figures match the sales in your books.
Deadline reminders
We remind you to pay before each deadline, reducing the chance of late penalties.
How is SST-02 done each period?
Taxable period ends
Two months of accounts are recorded and bank reconciliation is done. If you already use monthly bookkeeping, this step is already covered.
Sort out taxable sales
Taxable services and non-taxable income are separated by rate, and allowable adjustments are deducted.
You confirm the figures
The SST-02 draft is sent to you to review. Any questions are cleared up over WhatsApp or a video call.
Submit and pay
It is submitted on MySST by the last day of the following month, and you pay the amount due.
Say you run a small tuition centre in Petaling Jaya and also rent out a ground-floor unit to someone running a shop. After July 2025, parts of private education and commercial rental came under service tax, so the threshold and treatment for the two income streams need to be looked at separately.
In cases like this, separate the income clearly in your books first, then ask an accountant to confirm each item against MySST announcements. If everything is mixed together, it is hard to tell later which part is taxable.
How much does the SST service cost?
SST-02 filing starts from RM150 per period, six periods a year. Help with SST registration is not part of the monthly bookkeeping plans and is quoted separately, based on your business category and the state of your records.
The above is a starting price; the final price follows the quotation. Prices exclude service tax. If the service provider is SST-registered, 8% is added. See the pricing page for details.
Who is this service for?
- Your service is a taxable category and your 12-month turnover is close to or above RM500,000
- You are in commercial rental, construction, beauty or private education and unsure whether the July 2025 change affects you
- You are SST-registered but rush to submit on the last day every period
- You run a food and beverage business and want to confirm how to separate 6% items from other income
If your work involves sales tax for import, export or manufacturing, with arrangements such as raw material exemptions or bonded warehouses, we suggest also consulting a customs specialist.
SST is separate from year-end tax filing support: income tax is still filed separately on Form C or Form B. If older accounts are still not sorted out, start with catch-up bookkeeping.
Tell us your turnover for the past 12 months, and we will first show you how far you are from the threshold.
WhatsApp Us About SSTQuestions you may still have
Tap a question to see the answer. Can't find yours? Just ask us.
Ask on WhatsAppAt what turnover must I register for service tax?
If your service is a taxable category, the registration threshold for most services is RM500,000 in turnover over 12 months. Some categories added from 1 July 2025 have different thresholds. Confirm based on your service category and the latest MySST announcements.
Is the service tax rate 6% or 8%?
The general rate is 8%, effective 1 March 2024. Some services, such as food and beverage, telecommunications, parking and logistics, stay at 6%. Sales tax is 5% or 10%, depending on the goods.
When is SST-02 due?
SST-02 is filed every two months. It must be submitted and paid by the last day of the month after the taxable period ends. For example, for a September to October taxable period, it is due by 30 November.
How much does SST-02 filing cost?
From RM150 per period. The final price follows the quotation and excludes service tax. Help with SST registration is quoted separately based on your situation.
Do I need to file for periods with no taxable transactions?
Once registered, you generally still need to submit SST-02 for each period, even if there were no taxable transactions in it. The exact requirements follow the latest MySST guidelines.
Do I need to charge SST on a rental property or homestay?
Confirm the SST and tourism tax treatment for homestays and rentals with MySST and an accountant. The rental category added in July 2025 mainly covers commercial rental; accommodation has separate tourism tax rules, so it depends on your actual situation.
