FAQ on 10% Low-Value Goods Sales Tax (LVG)!

Online shopping is no longer cheap? Starting January 2024, the Royal Malaysian Customs Department (RMCD) will impose a 10% sales tax on low value overseas goods! What is Low-Value Goods Sales Tax (LVG) and how does 10% work? Take a look at these frequently asked questions that we have prepared for you!

  • All items priced below RM500 (excluding tobacco and alcohol)
  • Purchased from overseas
  • Goods brought into Malaysia whether by land, sea or air

The sales tax is charged on the price of LVG, not including any tax, duty or other charges such as shipping fee or insurance.

  • Sellers selling low value goods
  • Whether in Malaysia or overseas
  • Whether selling goods through online platforms or online marketplaces
  • Whether the goods are brought into Malaysia by land, sea or air
  • Sales exceeding RM 500,000 within a 12-month period.

If the LVG sold only through online marketplace (OMP), the OMP operator will be responsible for collecting the 10% sales tax.

  1. Log on to
    (If you don’t have an account yet, you can register through “Applicant Registration”)
  2. Click on “Add Person Details”.
  3. Fill in the employer/director/company appointee information
  4. Upload relevant documents
  5. Submit Application

Registered Seller (RS) needs to file a LVG sales tax return by filling in LVG-02 form at

Only online purchases of overseas goods will be subject to 10% sales tax, low value goods purchased in physical stores will not be subject to LVG.

Subscription of monthly journal is a digital services, which is given exemption.