Locally assembled buses now SST exempt, says finance minister

PETALING JAYA: The finance ministry has granted sales and services tax (SST) exemption for the purchase of locally assembled completed buses to bus operators with valid permits.

This decision was made after the Bus Operators Association submitted appeals to the ministry.

Finance Minister Lim Guan Eng said today: “This will save the bus operators from SST burden at 10% for each bus priced between RM250,000 and RM900,000.

“To date, there are 115 ready-to-install buses and 360 semi-finished buses that have not been removed from local assembly plants.

“Bus operators need to rely on new buses to provide comfortable and safe services to the public, especially school children and low-income earners.”

In a statement, Lim added that the decision was made to reduce the burden of bus operators and to enable them to improve the quality of bus services.