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[ShopeeFood Merchant] Implementation of Sales and Service Tax (SST) on the ShopeeFood merchant commission calculation of fees
English | Bahasa Malaysia
In line with the Budget 2024 released by the Malaysian Ministry of Finance on 13 October 2023, the Royal Malaysian Customs Department has announced that effective 1 March 2024, the Sales and Service Tax (SST) rate will be increased from 6% to 8% on prescribed taxable services except where specifically exempted. [Link to announcement here.]
Following this announcement, Shopee will revise the SST rate for platform fees charged to merchants from 6% to 8%, effective 1 March 2024.
Merchants should note that SST is incurred on top of merchant commission and marketing packages.
The breakdown of different types of fees under Shopee, including the charges before and after the 8% SST, is provided in the table below.
Fee | Before 1 March 2024 (6%) | Effective 1 March 2024 (8%) | Applicable For |
Merchant Commission | Commission fee: 25%Sales: RM100
ShopeeFood will be charging the merchant : = (RM100*25%)* 6% SST = RM26.50
Actual amount paid to Merchant = RM100 - RM26.50= RM73.50 | Commission fee: 25%Sales: RM100
ShopeeFood will be charging the merchant : = (RM100*25%)* 8% SST= RM27
Actual amount paid to Merchant = RM100 - RM27= RM73.00 | ShopeeFood Merchant |
Marketing Packages | Marketing Package Invoice RM10,000 with 6% SST = RM10,600 (Payable by Merchant) | Marketing Package Invoice RM10,000 with 8% SST= RM10,800 (Payable by Merchant) | Subject to Merchant Marketing Package subscription |
⚠️ Note:
The processing fee / packaging fee charged by merchants will remain unchanged.
* Subject to meeting conditions imposed by the RMCD.