Sales Tax exemptions for new cars in 2020

Sales tax exemption for cars sold between 15 June and 31 December 2020

The government has announced that all new cars registered between 15 June and 31 December 2020 will be exempt from Sales Tax. This is part of the Government’s Short-Term Economic Recovery Plan to offset the impact of the COVID-19 pandemic.

There will be 100 per cent exemption for locally-assembled cars (CKD) while imported models (CBU) will be taxed at 50 per cent.

Brands that are assembled in Malaysia include:
BMW, Honda, Hyundai, Kia, Mazda, Mercedes-Benz, MINI, Nissan, Peugeot, Renault, Subaru, Toyota, Volkswagen and Volvo.
Perodua and Proton are built in Malaysia.