Sage UBS Accounting & Inventory SST

Readiness
23 August 2018
SST Overview

• SST is a single tier tax system that replaces the multi-tier Goods and Services Tax [GST] that was
imposed at 6% until 31st May 2018; and 0% from June – August 2018.
• An overview of the history pattern on the SST→GST→SST is shown below:

• To replace current tax system [GST]:

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Changes made in Sage UBS systems

1. Default tax code list

2. With Malaysia GST “ON” [ticked] → SST tax codes + GST tax codes
3. With Malaysia GST “OFF” [unticked] → SST tax codes active; GST tax codes may
become “Obsolete” based on option selection when disabling GST

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Changes made in Sage UBS systems
- with Malaysia GST “OFF”
1. Option “Select tax code from Tax Code Maintenance” in GST Clarification field
➢ Option “Untick” → Only predefined system tax code will be available for selection

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Changes made in Sage UBS systems

1. Option “Select tax code from Tax Code Maintenance” in GST Clarification field
➢ Option “Tick” → selection of tax code from tax code maintenance will be available

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Changes made in Sage UBS systems

Accounting > Administrative Tools

➢ Option “Do not apply Delivery Order 21-day Rule”

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Changes made in Sage UBS systems
- switching off Malaysia GST
Accounting

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Changes made in Sage UBS systems
- switching off Malaysia GST
Inventory & Billing

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Changes made in Sage UBS systems
- with Malaysia GST “OFF”
Inventory & Billing – “With per item tax” option is enabled

• With per item tax  [tick]

→ body Tax % or GST Clarification is
enable
→ footer tax field will be dimmed and not
allowed to enter any value.

• With per item tax  [untick]

→ body Tax % or GST Clarification is
disable/hidden (follow existing logic)
→ footer tax field will be enabled.

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SST – Accounting of Tax
- Invoices

➢ Invoice to be issued pertaining to sale

➢ Shall contained prescribed particulars
➢ In Bahasa Malaysia or English
➢ May be produced by computer
➢ Sales tax payable shall be collected
by registered manufacturer from the purchaser

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SST – Accounting of Tax
- Invoices – prescribe particulars
➢ The invoice serial number
➢ Date of the invoice
➢ Name and address and identification number of the registered manufacturer
➢ Name and address of the person to whom the taxable goods is sold
➢ Description and quantity of the goods
➢ Any discount offered
➢ For each description, distinguish the type of goods, quantity and amount payable
excluding tax
➢ Total amount payable excluding tax, rate of tax and total tax chargeable shown as a
separate amount or total amount payable inclusive of total of tax chargeable
➢ Any amount expressed in a currency other than ringgit shall also be expressed in
ringgit at the selling rate of exchange prevailing in Malaysia at the time of sale

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SST – Accounting of Tax
- Invoices – sample

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SST – Accounting of Tax
- Credit Note & Debit Note
A credit note is issued under the following situations:
➢ Goods are returned by the purchaser due to wrong quantity, poor or defective quality
or uncontracted goods, provided the goods have not been subsequently sold or
disposed of by the purchaser
➢ Discounts given in respect of goods sold and which are freely available to all who are
willing to conduct business

A debit note is issued under the following situations:

➢ There is an addition of sales tax to be paid for any price adjustment

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SST – Accounting of Tax
- DN & CN – prescribe particulars
➢ The words “credit note” or “debit note” in a prominent place
➢ The serial number and date of issue
➢ The name, address and ST identification number of the supplier
➢ The name and address of the customer
➢ The reason for issuance
➢ Description which identifies the description of goods, the quantity and amount for
which CN or DN is given
➢ The total amount excluding tax
➢ The rate and amount of tax
➢ The number and date of the original tax invoice

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SST – Accounting of Tax
- DN & CN impact on return
➢ If changes relate to the amount of tax payable:
➢ Adjustment in the return of the taxable period in which the credit note or debit
note is issued
➢ Adjustment in the return of the last taxable – for person who has ceased to be a
taxable person

➢ If deduction for taxable period exceeds the amount of sales tax payable, the balance
is to be carried forward to the next taxable period

➢ Refund is not allowed on balance carried forward if taxable person has ceased to
carry on business

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Furnishing SST-02 Return & Payment of Tax

➢ Normal Period – not later than the last day of the month following after the end of his
taxable period

➢ Other period as approved by DG – not later than the last day of the 30 days from the end
of the varied taxable period
➢ Return shall be submitted whether or not there is tax to be paid. Failure to submit is an
OFFENCE.
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Summary
Working with Malaysia GST ON/OFF
Malaysia GST ON
 GST tax codes + SST tax codes
 Option NOT to apply DO 21-day rule
 Option to select tax code from tax code
maintenance dimmed
 Option to select “With per item tax” dimmed
Malaysia GST OFF
 GST tax codes + SST tax codes only
 DO 21-day rule option dimmed as not applicable
 Option to select tax code from tax code
maintenance enabled
 Option to select “With per item tax” enabled
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 Thank you

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