Categories: Digital LifeNews

Facebook ads are subject to 6% digital tax in Malaysia

Facebook has announced that they will collect 6% service tax on the sale of ads in Malaysia starting 1st January 2020. This is in line with the introduction of service tax on digital services that was first announced last year.

According to Facebook’s notice, this will affect advertisers that have set their “Sold to” country on their business or personal address to Malaysia. The service tax will be added whenever you’re charged for the ad regardless if it is purchased for business or personal purposes.

The social media platform also mentions that if the payment for the ads is done manually, the tax will be applied when your ad account is funded. They gave an example if you’ve spent USD 100 for ads and if you’ve reached your USD 100 billing threshold, you will be charged USD 100 in ad cost with USD 6 (6%) service tax on top of that.

Both Google and AWS have made similar announcements for customers in Malaysia. From 1st January 2020, all digital services, including download/streaming of content, music, video, or digital advertising will subject to a 6% digital tax. The tax is aimed to level the playing field for local businesses and it is estimated that the Malaysian government will collect RM2.4 billion each year.

[ SOURCE ]

Related reading

Recent Posts

ASUS ExpertBook Ultra: Flagship Business Laptop with Premium Looks, Military-Grade Toughness, and Serious Power

This post is brought to you by ASUS. If you are looking for a flagship…

14 hours ago

Countdown to Kickoff: Unifi TV Brings All 104 FIFA World Cup 2026 Matches Live in HD

This post is brought to you by Unifi. The wait is almost over. On June…

17 hours ago

Over 100 EVs take over Sepang for SoyaCincau x Dongfeng Pop-Up EV Clinic: Track Edition 2026

More than 100 electric vehicles (EV) gathered at Sepang International Circuit on the 6th June…

1 day ago

Gentari deploys four DC Chargers at Publika Shopping Gallery

If you're heading to Publika Shopping Gallery at Solaris Dutamas in Kuala Lumpur, there are…

1 day ago

Gentari turns on 180kW DC Charger at Petronas Batu Ferringhi

Gentari continues to deploy more EV chargers on Penang Island and the latest location is…

2 days ago

KLIMS 2026: Malaysia’s premier mobility extravaganza promises more than just car showcase

This post is brought to you by KLIMS. Making a return for the 11th time,…

2 days ago

This website uses cookies.