GST Diary for layman - A0. WHAT IS GST? (for layman)

A0.      WHAT IS GST? (for layman)

GST which is also known as VAT or the value added tax in many countries is a multi-stage consumption tax on goods and services. GST is levied on the supply of goods and services at each stage of the supply chain from the supplier up to the retail stage of the distribution.

Layman Ref: Google searching "What is GST",

Formal Ref: http://gst.customs.gov.my/en/gst/Pages/gst_wi.aspx

In a more simple and layman terms, it merely means that next time at the moment when you are paying to buy something from a retailer (sizes of sales (turnover) >500K a year), you are liable to pay tax (GST) as a consumer in Malaysia. For the receipts you get as the current practise, they would have an additional item namely Goods and Services Tax would charge 6% on top of the standard rated tax item. 

Sample of  *INVOICE (receipt) in practice now:-

            Sample of  *TAX INVOICE (receipt) after GST implemented:-

*Note: to any of the books, rules or guide you have read before, the terms "Tax Invoice" merely means the billing documents (e.g. Receipts, Invoice, Progress Claims & etc) instead of issuing you an invoice like credit sales practicing now for transactions even just buy a RM0.30 sweets.