[01] COURSE INTRODUCTION
The expansion of the Service Tax (SST) scope from 1 July 2025 marks a significant change for engineering firms, contractors, and service providers involved in the customization, installation, commissioning, and maintenance of civil projects and mechanical and electrical (M&E) systems. These services, previously outside the SST net, are now taxable under Group L, requiring businesses to urgently review their contracts, billing structures, and tax compliance practices.

This practical and industry-focused program is designed specifically for companies involved in the full project lifecycle, from engineering design and customization, to on-site installation and commissioning, and ongoing maintenance services. Through real-world case studies and RMCD-compliant guidance, participants will learn to differentiate taxable from non-taxable activities, manage transitional contracts, apply B2B exemptions correctly, and implement proper SST billing and reporting procedures.

Whether your role is in engineering, project management, finance, tax, or maintenance, this training equips you with the essential knowledge and tools to minimize compliance risks, manage SST costs effectively, and ensure smooth tax reporting post-implementation.

[02] COURSE OBJECTIVES
Participants will:
• Understand the expanded SST scope effective 1 July 2025, specifically covering mechanical & electrical (M&E), civil works, engineering, installation & commissioning, and post-installation maintenance services
• Identify taxable vs. exempt activities across customization, fabrication, installation, and after-sales service workflows
• Navigate transitional compliance for ongoing and new contracts, including complex billing structures like retention sums, progress claims, and maintenance packages
• Learn correct SST registration, invoicing, and reporting procedures for engineering-driven construction projects
• Interpret RMCD guidelines on mixed developments, Special & Designated Areas, and B2B exemptions applicable to the full project lifecycle

[03] WHO SHOULD ATTEND
This program is ideal for:
• M&E, Civil Installation and Commissioning Specialists
• Construction Project Managers & Site Managers
• Contractors and Engineering Teams
• Finance, Procurement & Tax Professionals
• Maintenance & After-Sales Service Teams
• SST-registered businesses involved in engineering, customization, and building services

[04] COURSE OUTCOMES
By the end of the session, participants will be able to:
• Determine SST applicability across various engineering, customization, installation, and post-installation service scopes
• Correctly apply SST exemptions for qualifying residential projects and B2B supplies
• Manage transitional tax treatment for pre- and post-1 July 2025 contracts, including phased installation works
• Structure invoices, contracts, and payment terms to comply with SST Regulations and minimize compliance risks
• Understand and apply SST-02 declarations, tax point rules, and documentation requirements for complex construction arrangements

[05] METHODOLOGY
This course employs interactive lectures, practical exercises, and discussions.

[06] DATE / TIME / FEE

Date:           29 August 2025 (Fri)
Time:           9.00am – 5.00pm
Venue:         Wyndham Acmar Hotel, Klang

FEE

[ HRDF Claimable ]
   - Early Bird Offer (before 11 Aug 2025) – RM 840
   - Special Offer (before 25 Aug 2025) – RM 880
   - Normal Fee – RM 920

>> Fee includes Course Notes, Meals, Certificate of Completion & 8% Service Tax

OFFER  

- 10% Cashback for SST2u Learner Card+ (SLC+) members. T&Cs applied.

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[07] COURSE OUTLINE

Module 1: SST Expansion & Engineering Services
• Overview of SST Act 2018 & latest amendments
• SST treatment for Group L services
• RMCD’s objectives and coverage
• Grace period overview

Module 2: Determining Taxability in Engineering & Installation Work
• Taxable vs non-taxable activities:
. Custom fabrication and assembly
. On-site installation and commissioning
. Preventive maintenance & repair
• Residential vs. commercial & industrial scopes
• Mixed development projects
• Project examples

Module 3: SST Registration, Threshold & B2B Exemptions
• RM1.5m threshold and industry-specific calculation
• Registration obligations for engineering firms
• B2B exemption rules (subcontractor to main contractor)
• Documentation for Design & Build vs. Traditional build projects
• Invoicing requirements and SST-02 submission
• Imported services (ImTS) and exemption cases

Module 4: Transitional Period & Contract Management
• Handling contracts spanning pre- and post-1 July 2025
• Service apportionment during transition
• Tax treatment of retention sums, Liquidated Ascertained Damages (LAD)
• 12-month unpaid value rule
• Non-reviewable contract scenarios

Module 5: Invoicing, Payment Milestones & Tax Points
• Engineering & construction billing practices:
 . Progress claims & valuation certificates
 . Installation completion milestones
 . Retention sum release
• Invoice content for SST compliance
• Invoice vs. payment basis
• Accounting treatment and SST timing
• Practical walkthrough: sample engineering project invoice cycle

Module 6: Special & Designated Areas in Engineering Projects
• SST implications in Special Areas (LMW, Free Zones)
• Work done in Designated Areas (Langkawi, Labuan)
• Principal Place of Business (PPOB) considerations
• Case examples: installation in Langkawi vs. mainland

Module 7: Common Pitfalls, FAQs & Practical Challenges
• Frequent issues in engineering & construction tax compliance
• Misclassification of services
• Common B2B exemption mistakes
• SST liability trigger points in phased installation projects
• Impact on income tax & costing
• Top FAQs from RMCD relevant to engineering sector

Module 8: Practical Issues & Customized Q&A Session
• Industry-specific compliance challenges:
 . Long project timelines
 . Multi-party billing
 . Warranty & maintenance service tax treatment
• Self-checklist for compliance readiness
• Open consultation on client-specific scenarios

End of Training

[08] TRAINER PROFILE
FAN KAH SEONG
HRD Corp Accredited Trainer, Tax Expert, National Treasurer SAMENTA

Kah Seong is National Treasurer for the Small and Medium Enterprises Association (SAMENTA) Malaysia, Taxation Practice Committee member of MIA, and Advisor to the Tax Committee of the Federation of Public Listed Companies Berhad. He has over 35 years’ experience in direct and indirect tax, including serving as a Director of PKF, Partner of Deloitte SEA, Executive Director of PwC, and Director of Arthur Andersen. He is also a licensed Company Secretarial and serves as Independent Director with several listed companies.

His engagements cover various industries including plantation, trading, construction, property development, IT services, logistic, food & beverage, and manufacturing. He has undertaken numerous tax due diligence, M&A, international tax, and other corporate tax restructuring assignments, IPO locally and overseas for the ports, logistic, roads, motor, construction, manufacturing, retail, and property sector.

Kah Seong holds a Bachelor of Economics (Honours Class II A) from Monash University, Clayton Australia. He is a Fellow Member of CPA Australia, MIA, and CTIM. He is also a Section 153 tax agent licensee, and licensee of the previous GST Section 170. He has been recognised by the International Tax Review as Indirect Tax leader in Malaysia in 2014–2015 and 2017–2022.

[09] ENQUIRY & REGISTRATION

Enquiry: yes@sst2u.com

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