Xpax

Mobile Prepaid services will be exempted from SST starting 6 September

When SST took effect starting 1 September 2018, many prepaid users in Malaysia were unhappy that their reloads carry less value due to the 6% tax deduction. A RM10 reload would only give you RM9.43 of credit.

Lim Guan Eng had mentioned that prepaid was excluded from SST and telcos should give RM10 value for RM10 of top up. However, telcos had started deducting taxes to comply with the Sales & Services Tax Act 2018.

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Lim Guan Eng: RM10 prepaid top up should give you RM10 of credit

Malaysia 6% SST Prepaid Reload

UPDATE: Prepaid services are officially exempted from SST beginning 6 September 2018. More details here.

Starting 1 September 2018, all telcos had introduced 6% SST on all services. This is done in accordance with the Sales & Services Tax Act 2018 and it covers all users including postpaid, prepaid and broadband. For postpaid, the 6% tax is applied on the total taxable amount while prepaid users will have to pay the 6% tax at the point of top up.

Obviously, this had caused a lot of dissatisfaction for prepaid users as most of them are getting less value when they reload. For example, a RM10 top up will only come with RM9.43 of credit after deducting the 6% tax.

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SST on Prepaid: RM10 reload gets you RM9.43 of credit

UPDATE: We’ve updated this post to include SST details from Yes 4G, U Mobile and Tune Talk.

UPDATE 2: Lim Guan Eng says prepaid users should get RM10 credit with RM10 top up.

UPDATE 3: Yes has updated their SST FAQ. RM10 top ups are sold at RM10 and you’ll only get RM9.43 of credit.

UPDATE 4: Prepaid services are officially exempted from SST beginning 6 September 2018. More details here.

The Sales and Services Tax, or better known as the SST will take effect in Malaysia starting 1st September 2018. This replaces the current Goods and Services Tax which was zero-rated since June 2018.

So what happens to mobile prepaid services in Malaysia? We’ve checked with the local telcos and basically, you’ll get slightly less credit for all reloads or top ups effective 1st September 2018. In short, a RM10 top up will only give you RM9.43 of credit. To cushion the blow, most telcos are throwing a little bit of extra freebies for every new top up.

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Yonder Music is back with free unlimited music streaming

Two months ago, Celcom’s free unlimited music service partner, Yonder Music, was suspended without prior notice. It was a value add-on feature for Celcom postpaid and Xpax prepaid customers, where subscription is free and it won’t consume your monthly data quota if you stream music on your smartphone.

Now it appears that Yonder is back and it’s still free with no ads and no subscription fees required.

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