1. The Ministry of Finance (MOF) invited the public to provide feedback on the draft Goods and Services Tax (Amendment) Bill 2019 (“Draft Bill) from 5 July to 26 July 2019. The Draft Bill proposed legislative amendments relating to the planned introduction of GST on imported services from 1 January 2020, which was announced in Budget 2018. The introduction of GST on imported services will ensure that our tax rules are updated, such that both imported and local services are on a level playing field, and accorded the same GST treatment. The Draft Bill also proposed changes arising from the periodic review of the GST system to ease business compliance and clarify existing legislation.
2. The feedback received mostly pertained to the following changes:
- Refining the design parameters for GST on imported services;
- Updating the GST treatment for digital payment tokens; and
- Introducing definitions of “accountant” and “advocate and solicitor” for purposes of appeals to the GST Board of Review.