# Service Tax Groups A to M — Rate and Threshold Reference

> Every service tax group with its rate, registration threshold, effective date and the gazetted instrument that sets it.

- Category: taxation
- Language: en
- Status: published
- Updated: 2026-07-20
- Canonical: https://negaraku.md/en/taxation/sst-rate-table

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Reference table for the First Schedule to the Service Tax Regulations 2018 as
amended. Rates come from the Service Tax (Rate of Tax) Order 2018 as substituted
by P.U.(A) 173/2025 and amended by P.U.(A) 125/2026.

## Groups, rates and thresholds

| Group | Taxable services | Rate | Threshold | In force from |
| --- | --- | --- | --- | --- |
| A | Accommodation | 8% | RM500,000 | 1 Sep 2018 |
| B | Food and beverage | 6% | RM1,500,000 | 1 Sep 2018 |
| C | Night-clubs, dance halls, cabarets, wellness centres, massage parlours, public houses and beer houses | 8% | RM500,000 | 1 Sep 2018 |
| D | Private clubs | 8% | RM500,000 | 1 Sep 2018 |
| E | Golf clubs and golf driving ranges | 8% | RM500,000 | 1 Sep 2018 |
| F | Betting and gaming | 8% | RM500,000 | 1 Sep 2018 |
| G | Professionals | 8% | RM500,000 | 1 Sep 2018 |
| H item 1 | Credit and charge cards | RM25 per card per 12 months | Nil | 1 Sep 2018 |
| H items 2–4 | Insurance and takaful; fee- and commission-based financial services; Labuan financial services | 8% | RM1,000,000 | 1 Jul 2025 |
| I items 1–13 | Other service providers — advertising, brokerage, employment, security, courier, parking, motor servicing, electricity and others | 8% | RM500,000 | 1 Sep 2018 |
| I item 14 | Private healthcare services | 6% | RM1,500,000 | 1 Jul 2025 |
| I item 15 | Private traditional and complementary medicine | 6% | RM1,500,000 | 1 Jul 2025 |
| I item 16 | Private allied health services | 6% | RM1,500,000 | 1 Jul 2025 |
| J | Logistic services | 6% | RM500,000 | 1 Mar 2024 |
| K | Rental or leasing | 6% (8% until 31 Dec 2025) | RM1,000,000 | 1 Jul 2025 |
| L | Construction works | 6% | RM1,500,000 | 1 Jul 2025 |
| M | Education | 6% | Nil | 1 Jul 2025 |

Parking is at 6% notwithstanding its position in Group I, because the rate is
set by the service, not the group.

## The 6% schedule

Paragraph 3(1) of the Rate of Tax Order fixes 8% on all services. Paragraph
3(2)(a) applies 6% to the First Schedule. The count is date-dependent: it was
**thirteen entries** from 1 July 2025 under P.U.(A) 173/2025, and became
**fourteen** when rental or leasing (item 14) was added from 1 January 2026:

1. Prepared or served food services
2. Prepared or served non-alcoholic beverages services
3. Sales of non-alcoholic beverages services
4. Food together with alcoholic or non-alcoholic beverages services
5. Telecommunication services
6. Telecommunication together with subscription broadcasting services
7. Parking space for motor vehicle services
8. Logistic services
9. Healthcare services
10. Practice of traditional and complementary medicine services
11. Services relating to allied health
12. Construction works services
13. Education services
14. Rental or leasing services — added by P.U.(A) 125/2026 from 1 January 2026

Paragraph 3(2)(b) applies the Second Schedule, which contains only credit and
charge cards at RM25 per card on activation and every twelve months thereafter.

Anything not in either schedule is 8%.

## Threshold changes to watch

| Change | From | To | Instrument | Effective |
| --- | --- | --- | --- | --- |
| Group H items 2–4 | RM500,000 | RM1,000,000 | P.U.(A) 201/2025 | 1 Jul 2025 |
| Group K | RM500,000 | RM1,000,000 | P.U.(A) 201/2025 | 1 Jul 2025 |

Both were gazetted at RM500,000 on 9 June 2025 and amended on 30 June 2025, one
day before commencement. Guidance published in that window is out of date.

## Rate changes to watch

| Change | From | To | Instrument | Effective |
| --- | --- | --- | --- | --- |
| General rate | 6% | 8% | P.U.(A) 64/2024 | 1 Mar 2024 |
| Group K rental or leasing | 8% | 6% | P.U.(A) 125/2026 | 1 Jan 2026 |

## Notes

- **Group M threshold is nil.** The RM60,000 per student per academic year
  figure in item 1 defines which institutions provide a taxable service; it is
  not a registration threshold.
- **Group G aggregates.** A Group G person is liable once the combined value of
  any one or more Group G services exceeds RM500,000.
- **Beauty services are not a group.** The proposed wellness centre definition
  was deleted by P.U.(A) 201/2025 before commencement. Wellness centres and
  massage parlours remain in Group C.
- **Exempted revenue counts toward thresholds.** Reliefs are granted under s.34
  as exemptions from payment, not from scope.

## Common mistakes

- Placing construction in Group K. Construction is Group L; Group K is rental.
- Quoting RM500,000 for Group K or Group H items 2 to 4 — superseded on
  30 June 2025.
- Charging 8% on rental after 1 January 2026.
- Reading RM60,000 as the Group M registration threshold.
- Excluding exempted revenue when testing a threshold.

## What's next

For sector-by-sector detail on the groups added in 2025, including transitional
and non-reviewable contract relief, see the expansion guide. For how the
thresholds are tested over a rolling twelve months, see the registration guide.

## Sources

- Service Tax Regulations 2018, P.U.(A) 214/2018 — First Schedule — https://mysst.customs.gov.my/wp-content/uploads/2025/03/Service-Tax-Regulations-2018.pdf (Attorney General's Chambers)
- Service Tax (Amendment) Regulations 2025, P.U.(A) 172/2025 — https://mysst.customs.gov.my/wp-content/uploads/2025/07/Peraturan-Peraturan-CP-Pindaan-2025.pdf (Attorney General's Chambers)
- Service Tax (Amendment) Regulations 2025 (Amendment) Regulations 2025, P.U.(A) 201/2025 — https://mysst.customs.gov.my/wp-content/uploads/2025/07/5-PUA-201.2025.pdf (Attorney General's Chambers)
- Service Tax (Rate of Tax) (Amendment) Order 2025, P.U.(A) 173/2025 — https://lom.agc.gov.my/ilims/upload/portal/akta/outputp/2905104/PUA%20173%20(2025).pdf (Attorney General's Chambers)
- Service Tax (Rate of Tax) (Amendment) Order 2026, P.U.(A) 125/2026 — https://lom.agc.gov.my/act-view.php?type=pua&language=BI&no=P.U.+%28A%29+125%2F2026 (Attorney General's Chambers)
- Service Tax (Amendment) Regulations 2024, P.U.(A) 62/2024 — https://mysst.customs.gov.my/wp-content/uploads/2025/03/PERATURAN-PERATURAN-CUKAI-PERKHIDMATAN-PINDAAN-2024.pdf (Attorney General's Chambers)
- Service Tax (Rate of Tax) (Amendment) Order 2024, P.U.(A) 64/2024 — general rate raised from 6% to 8% from 1 March 2024 — https://lom.agc.gov.my/act-view.php?type=pua&language=BI&no=P.U.+%28A%29+64%2F2024 (Attorney General's Chambers)

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