MAA Will Meet Government Over Implementation Of High-Value Goods Tax On Luxury Cars

The Malaysian Automotive Association (MAA) is set to meet with the government soon amid speculation that the high-value goods tax (HVGT) will be imposed on luxury cars priced above RM200,000, according to The Edge.

At a press conference on Tuesday, MAA president Mohd Shamsor Mohd Zain acknowledged the importance of implementing the HVGT but urged caution given the automotive industry's already high taxation.

"We are actually preparing a request to the government regarding the MAA's position on the HVGT. Let us talk to the government first, and then you might hear something," he said.

The Star reported that Malaysians will soon face the newly-named High Value Goods Tax (HVGT), which was initially announced as a luxury tax, beginning May 1, 2024, according to Prime Minister Datuk Seri Anwar Ibrahim. 

The new tax, which will be imposed on luxury or high-ticket items, will have a rate ranging from 5% to 10%, according to Budget 2024.

Jewellery over RM10,000, watches above RM20,000 and cars priced beyond RM200,000 will be subject to the new high-value tax of between 5% to 10%. It is not yet known if the luxury cars will get an additional tax of 5%, 10% or anything in between.


Shamsor stated that the dialogue would take place before the end of February, with HVGT implementation scheduled for May.