Practical Guidance for Managing SST in Construction and Engineering Sector

As Malaysia strengthens SST enforcement, companies in engineering, oil & gas, and construction face growing complexity in managing SST compliance across their supply chain, project costing, and contract execution.

This is a customised SST training for companies in construction, engineering industry, only available through in-house training. This training provides practical, industry-specific guidance to help your project teams and finance personnel navigate SST requirements with clarity and confidence.

📌 Who Should Attend

• Project Managers, Engineers, Site Supervisors
• Procurement, Supply Chain & Commercial Teams
• Finance, Accounts, and Admin Staff
• Compliance & Internal Audit Officers

SST -Service Tax Training Outline

Module 1: Latest SST with July 2025 Expansion

• Introduction to SST landscape in Malaysia
• SST Legislation and Expansion 2025
• Key SST changes effective 1 July 2025
• Expanded scope: What’s new and what’s changed
• Transitional rules and grace period until 31 Dec 2025
• Differences between sales tax and service tax
• Service Tax mechanism
• Penalty of late payment, evasion of tax

Module 2: SST for Construction Services

• Are construction services subject to Sales Tax?
• Key taxable items in construction
• What charges are subject to service tax in the construction industry
• What services are not subject to service tax under construction work services?
• How is the value of construction work services determined?
• When to account for service tax
• Discussion on scenarios for construction
• Transitional rules (retention, progressive billing)
• Service Tax Treatment in Special Areas – FTZ, SA, DA
• Traditional Contract Method vs Design and Build Contract Method
• Transitional rules
• Treatment of retention sum
• Liquidated and ascertained damages (LAD)
• Non-reviewable contract

Module 3: Exemptions and Group Relief

• Group relief eligibility
• Exemption of service tax relevant to Construction
• Exemptions under Schedule C for registered manufacturers – is your supplier eligible?
• How to handle materials purchased from exempt suppliers?
• Applying for exemptions (e.g. CJ(P), CJ5)
• Service tax potentially double taxation areas and elimination possibilities
• Scope of professional services and service tax treatment
• Information Technology Services, Management Services, Employment Services
• Taxable and non-taxable rental or leasing services
• Imported taxable service
• Digital tax

Module 4: Service Tax Accounting, Documentation & Audit Prep

• Sample invoice format
• Credit and Debit Note
• Accounting Basis and Taxable Period
• SST calculation examples for projects and materials
• SST return submission (SST-02)
• Required reports: Laporan CJ(P), Jadual C, and more
• SST audit readiness: what customs officers look for
• Managing SST impact on pricing and margins

🆕 Bonus Segment: SST Updates & Regulatory Shifts

• July 2025 changes in scope, services, and tax rate
• Implications for project costing, cash flow, and contracts
• What your business should do now to stay ahead

Why This Training Matters

Whether you’re managing a hospital M&E project, building a plant in a Free Zone — this SST training will equip your team with actionable knowledge to:

• ✅ Reduce SST errors and risk
• ✅ Avoid penalties and audit issues
• ✅ Plan your project tender costing better when you understand what are the taxable services and what can be exempted
• ✅ Improve compliance

📣 Ready to Train Your Team?
This course is available as an in-house workshop (HRDC-claimable) for finance and project teams in construction, engineering, or oil & gas industries.

📞 Contact us or WhatsApp us directly [Click to WhatsApp]
📧 Or drop us an email at contact@ksgc.com.my