TCM practitioners exempted from 8% service tax


PUTRAJAYA: Traditional and complementary medicine (TCM) practitioners registered under the T&CM Act 2016 (Act 775) will be exempted from the 8% service tax, according to the finance ministry.
“As long as the TCM practitioners are registered with the Act under the health ministry, they will be exempted from the service tax that will come into effect on March 1, 2024,” second finance minister Amir Hamzah Azizan said during a special interview today.
He said in line with this decision, TCM practitioners who have registered with Act 775 do not need to register with the customs department.
Those involved in Malay, Chinese medicine or Indian traditional medicine, homeopathy, chiropractic, osteopathy and Islamic medical practices need not pay the service tax, he said.
“The finance ministry has also agreed that this decision also applies to services provided by medical or wellness centres, massage parlours or such other places managed by TCM practitioners registered under Act 775 for these services for the period before March 1, 2024,” he said.
According to Amir, the service tax exemption for TCM services is one of the efforts to increase people’s well-being.
Amir said the government wanted to expand local micro, small and medium enterprises, which employ almost half of the workforce in Malaysia.
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