KUALA LUMPUR: The government is currently refining the policies and legislation relating to the implementation of High-Value Goods Tax (HVGT), the Dewan Rakyat was told.
Finance Minister Datuk Seri Anwar Ibrahim in a parliament written reply said this was to ensure that the implementation of the tax which was supposed to be imposed on May 1 could be done in an orderly and efficient manner.
"The original proposed date for the implementation of HVGT on May 1 has been postponed to a date that will be decided by the Cabinet.
"The ministry is currently refining the policies and laws related to the tax so it can be implemented in an orderly and efficient manner, in line with international best practices and current taxation principles.
"The implementation will also not adversely affect economic activities and the overall well-being of the people," he said.
Anwar, who is also Finance Minister, said this in response to Datuk Seri Dr Wee Ka Siong (BN-Ayer Hitam) on the status of HVGT implementation.
HVGT, previously known as the Luxury Goods Tax, was slated to be tabled in the just-concluded parliamentary session, with the proposed legislation set to take effect on May 1, pending approval.
The implementation of HVGT was delayed due to the Finance Ministry's postponement in presenting the bill to Parliament.
The bill was first announced in the revised 2023 Budget tabled in February last year. The tax is expected to range from five to 10 per cent.