Goods and Service Tax
Malaysia Goods & Services Tax (GST)
With reference to the Goods and Services Tax (Rate of Tax) (Amendment) Order 2018 issued by the Government of Malaysia, please be informed that Malaysia Airlines will apply the GST rate change from 6% to 0% effective 1 June 2018 for goods and services supplied by the national carrier.
Malaysia Airlines Berhad (“MAB”) GST registration number is as follows:
GST Registration Number
Malaysia Airlines Berhad
For further information, please visit the official GST website at www.gst.customs.gov.my.
Air Ticket Related
Are sales of domestic or international air tickets subject to GST?
GST treatments for the sale of air tickets for domestic or international flights are as follows:
(a) Sale of domestic air tickets are subject to GST at standard rate of 6% prior 1 June 2018. Effective from 1 June 2018, the sale of domestic air tickets will be subject to GST at 0%;
(b) Sale of International air tickets are subject to GST at zero rate and this will include International transportation of passengers;
(c) Connection/ transit for a domestic ticket within 24 hours of an international air ticket qualifies for GST zero rate.
How is GST represented in the ticket?
GST is represented in the TAX column of the ticket using tax code ‘D8’.
Is Passenger Service Charge (PSC) or airport tax subject to GST?
PSC or airport tax for domestic and international air travel which are collected on behalf of Malaysia Airport Holdings Berhad or Senai Airport Terminal Services Sdn Bhd (collectively known as Airport authorities) are subject to GST at standard rate of 6% prior 1 June 2018. Effective from 1 June 2018, the GST will be at 0%.
Non-Utilization of Tickets. Can a passenger claim for a refund of the GST amount paid if the passenger did not utilize the non-refundable ticket after purchasing it?
For non-refundable ticket and award ticket, GST is not refundable to a passenger for purchasing a non-refundable ticket including award ticket. However, the GST on the PSC or airport tax of the non-refundable ticket is.
For refundable tickets, subject to terms and conditions of purchase, the fare and relevant taxes would be refunded. Where applicable, administrative charges may apply. The administrative charges after 1 June 2018 would be at 0% GST.
GST Transitional Utilised Tickets. For tickets purchased prior to 1 June 2018 for travel period on/after 1 June 2018, can passenger claim a refund of the 6% GST already paid?
GST is not refundable.
GST Transitional Refundable Tickets. For refundable tickets purchased prior to 1 June 2018 and changes made on/ after 1 June 2018 to the ticket, what is the GST impact?
Depending on the terms and conditions of the ticket, GST would not apply on the amounts payable after 1 June 2018. Where applicable, administrative charges may apply. The administrative charges after 1 June 2018 would be at 0% GST.
For further information, customers are encouraged to:
- Contact Malaysia Airlines’ call centre at 1300 88 3000.
- Alternatively, customers can visit the Royal Malaysian Customs Department’s website at www.gst.customs.gov.my.
India Goods & Services Tax (GST)
Goods & Services Tax (GST) Form Request
For issuance of B2B India GST Tax Invoice by the Airline, kindly fill up the forms. Tax Invoice will be issued to the email address provided by you within 30 days. For the month of July, the GST india invoices will be coming latest by mid-August 2017 due to first time processing and apologies for any inconvenience caused.
International Passenger Service Charge exemption for Overseas Filipino Workers (OFW)
Overseas Filipino Workers (OFW) exempted from paying the International Passenger Service Charge (LI) may purchase your ticket from any Malaysia Airlines ticket offices worldwide or any Travel Agencies. The proof of exemption such as valid Overseas Employment Certificate (OEC), Balik Manggawa (BM) document or other acceptable exemption documents shall be presented upon purchase of ticket and surrendered by the departing OFW at the Malaysia Airlines check-in-counter at Ninoy Aquino International Airport in Manila. In case of failure to show exemption, the International Passenger Service Charge (IPSC) will be collected from passenger.
For OFW passenger who bought ticket on Malaysia Airlines website which is unable to exempt above mentioned tax and wishes to refund the International Passenger Service Charge, he/she may process the refund through Manila International Airport Authority with the valid Overseas Employment Certificate (OEC) or other acceptable exemption documents.