On 1 January  2024, Malaysia imposed a 10% sales tax on imported low-value goods (LVG) sold in the country. The LVG rules came into effect on 1 January 2023 and were initially intended to be effective from 1 April 2023. However, it was postponed until 1 January 2024. Under the latest tax update, a 10% tax rate will be applied to all imported goods sold online for less than 500 ringgit (US$105) in Malaysia. This tax will be imposed on the product price or freight on board, excluding shipping and additional fees. It’s important to note that this ruling does not apply to low-value goods such as tobacco products, electronic cigarettes, liquors, and cigarettes.