Malaysian Tourist Refund Scheme


A guide for merchants

Petronas Towers, Kuala Lumpur. Photo: Luke Ma CC BY 2.0

Petronas Towers, Kuala Lumpur. Photo: Luke Ma CC BY 2.0

On 1 April 2015, the Government of Malaysia introduces a new Goods and Services Tax (GST) charged on all taxable goods and services in Malaysia, except those specifically exempted. For full details on GST, please visit http://gst.customs.gov.my/

In parallel with the introduction of GST, the Royal Malaysian Customs Department has appointed IRIS Global Blue TRS Malaysia Sdn. Bhd as the single approved agent to implement a scheme allowing eligible foreign tourists to claim back GST paid on qualifying goods bought in Malaysia and exported by air through the eight eligible international airports. The scheme is known as the Tourist Refund Scheme (TRS).
 

How Merchants can participate in the Tourist Refund Scheme

To offer foreign tourists the benefits of the Tourist Refund Scheme, Merchant Outlets must obtain prior approval from the Royal Malaysian Customs Department. Once approved, Merchants can be affiliated by IRIS Global Blue and be equipped with the necessary solutions, training and support to operate the scheme.

The steps for securing approval from the Royal Malaysian Customs Department and affiliating with IRIS Global Blue are as follows:

1. Merchants should first register for GST and hold a valid GST registration number. Further details on how to register for GST through the Taxpayer Access Point (TAP) can be found by visiting http://gst.customs.gov.my/

2. Once registered for GST, Merchants can seek approval to operate the TRS Scheme using the Outlet Registration Portal of IRIS Global Blue at https://www.iris-globalblue.com/register-trs-outlet/. The portal is available for use by Merchants from 26 January 2015 onwards.

3. After IRIS Global Blue has received confirmation from the Royal Malaysian Customs Department that a Merchant has been approved, a Sales representative of IRIS Global Blue will contact the Merchant to plan the schedule for technical setup and training. IRIS Global Blue will also provide ongoing support to the Approved Merchant when they commence operating the scheme.


How does the Outlet Registration Portal work?

The Outlet Registration Portal of IRIS Global Blue allows Merchants to confirm their interest in participating in Malaysia’s Tourist Refund Scheme and to self-register their Outlet details for approval by the Royal Malaysian Customs Department. Details submitted in the Outlet Registration Portal are sent to the Royal Malaysian Customs Department and the outcome of their assessment is provided to IRIS Global Blue.

A single Merchant may have one or more Outlets and each Outlet must be registered separately.


How to Prepare for Registration

A merchant preparing to submit an application through the Outlet Registration Portal from mid-January 2015 onwards should prepare the following information:

  • GST Registration Number of Merchant
  • Legal Name of Merchant
  • Registered Address of Merchant
  • Outlet Name
  • Outlet Address
  • Outlet Contact Name
  • Outlet Contact Designation
  • Contact phone number
  • Contact email address
  • Type of goods sold at Outlet
  • Eligibility of Merchants

In order to participate in the Tourist Refund Scheme in Malaysia, a Merchant must:

  • Be registered for GST and hold a valid GST registration number
  • Be approved by the Royal Malaysian Customs Department to participate in the scheme
  • Be affiliated to IRIS Global Blue
  • Be equipped by IRIS Global Blue with the solution to issue TRS transactions to eligible tourists
  • Provide a GST Refund Form to eligible tourists who wish to claim refund of GST under Tourist Refund Scheme using IRIS Global Blue solutions
  • Account for tax on a monthly period
  • Sell eligible goods
  • Not sell non-taxable goods/non tax refundable goods like liquor, cigarettes, tobaccos, tobacco products, gems stone and precious metal under the scheme
  • Charge GST at standard rate on taxable goods sold to foreign tourists
  • Issue tax invoices which indicate the cost of the goods as well as the amount of GST charged


Further information

If you have additional questions on the Tourist Refund Scheme, rules for eligibility, or the background to the introduction to GST, please visit http://gst.customs.gov.my/


User Guides for Issuing Solutions in Malaysia

The following User Guides explain how Approved Outlets can issue GST Refund Transactions/ Forms using IRIS Global Blue’s online issuing solutions: