Kuala Lumpur: Excise duty will be imposed on electronic and non-electronic cigarette devices as well as its juices and gels starting Jan 1, says the Customs Department.
Its director-general Datuk Seri Abdul Latif Abdul Kadir said excise duty for electronic and non-electronic cigarette devices will be at 10% ad valorem tax while its juices and non-nicotine base vape juices are at RM0.40 per ml.
“Excise duty will be imposed on the items during import and release by local manufacturers.
“Local manufacturers must be licensed under Section 20 of the Excise Act 1976 with payment of RM4,800 a year while payment for warehouse licence is RM2,400 a year under Section 25 of the same Act,” he said in a statement on Tuesday (Dec 8).
Local manufacturers must apply for the licences at the respective Customs zone/state where the factory or warehouse is located before Dec 15, he added.
The documents needed are excise licence application letter, Customs Form 1, business registration certificate under the Companies Commission of Malaysia (SSM) or the certificate under the local authority for Sabah, Sarawak and Labuan.
“They must also have plans and sketches of manufacturing premises, and a list of raw materials and completed items.
“They must also provide a flow chart of the manufacturing process, production capacity and declaration of nicotine content in the juice or gel of the electronic cigarette.
“All licence holders must abide by licensing requirements and provide a bank guarantee to ensure the safety of duty and taxes,” Abdul Latif said.
For further information, check out the FAQ for excise duty imposed at http://www.customs.gov.my/ms/pages/utama.aspx.
.jpg)
