When Must Home-Based Makers Register for Sales Tax in Malaysia?

The Royal Malaysian Customs Department's MySST registration page (checked November 2026) sets the rule for manufacturers under the Sales Tax Act 2018.

Threshold. A manufacturer of taxable goods must register when the sales value of taxable goods has exceeded RM500,000 over a 12-month period. The same RM500,000 test applies to the value of sub-contract work on taxable goods.

How the 12 months is tested. Customs describes two methods:

• the historical method looks at the current month and the 11 months before it;
• the future method looks at the current month and the 11 months after it. Registration is triggered by whichever is met first.

Voluntary registration. Available for manufacturers of taxable goods below the threshold, but not for manufacturers of non-taxable goods.

Exemptions. Manufacturers of goods that are not taxable, and those below the threshold, do not have to register. Customs also lists certain activities, such as tailoring and jewellery, as not requiring registration.

Whether a product is taxable depends on its tariff classification and the orders in force, so check the current Sales Tax orders on the MySST portal. Home bakers and craft sellers often fall below the threshold, but they should keep monthly sales figures to monitor it.