Odoo for Malaysia: SST & Malaysian Localization

Malaysian SST in Odoo

Malaysia uses SST (Sales and Service Tax) replacing the previous GST. The Royal Malaysian Customs Department (RMCD/JKDM) administers SST. Businesses above threshold must register and file bimonthly returns.

SST Configuration

# Malaysian SST rates:
# Sales Tax: 5% or 10% (manufactured goods)
# Service Tax: 8% (previously 6%, increased 2024)
# Exempt: basic food, agricultural inputs
# Not subject: exported goods

# Sales Tax:
# 10% — standard manufactured goods
# 5% — specific items (fruits, IT equipment)
# Exempt: basic necessities, raw materials

# Service Tax:
# 8% — professional, IT, telecom, F&B, accommodation
# Exempt: financial services (partial), healthcare

Company Setup

# Malaysian company details:
# SST Registration Number
# Company Registration: with SSM
# TIN: Tax Identification Number
# Currency: MYR (Malaysian Ringgit)

# Chart of accounts:
# Malaysian chart following MFRS/MPERS standards
# Customize standard Odoo chart for Malaysia

E-Invoice Mandate

# LHDN (Inland Revenue Board) e-Invoice:
# Phased rollout 2024-2025
# Mandatory for all businesses

# MyInvois platform:
# Taxpayers submit e-invoices via API or portal
# LHDN validates and returns unique ID
# Covers: invoices, credit/debit notes, self-billed

# Integration:
# API endpoint: myinvois.hasil.gov.my
# Format: UBL 2.1 (Malaysian extension)
# Authentication: digital certificate

SST Returns

# SST-02 Return (bimonthly):
# Filed within 28 days after taxable period
# Report total taxable sales/services
# Calculate SST payable

# From Odoo:
# Accounting → Reports → Tax Report
# Export sales tax and service tax data
# Submit via MySST portal (mysst.customs.gov.my)

# Input tax:
# Note: SST has NO input tax credit
# Unlike GST, SST paid is a cost
# No recovery mechanism for businesses

PCB Payroll

# Monthly Tax Deduction (PCB/MTD):
# Employer deducts employee income tax
# Submit via e-PCB/e-Data PCB
# Due by 15th of following month

# EPF (KWSP): 11-13% employee + 12-13% employer
# SOCSO (PERKESO): 0.5% employee + 1.75% employer
# EIS: 0.2% each

# Configure payroll deductions in Odoo HR

DeployMonkey for Malaysia

Deploy Odoo for your Malaysian business on DeployMonkey. The AI agent configures SST, e-Invoice integration, Malaysian chart of accounts, and PCB payroll deductions. RMCD-compliant from day one.