SAP add-on for Malaysia SST
Realize cash flow advantages for manufacturing in Malaysia
For manufacturers operating in Malaysia, KGT has developed an SAP add-on solution that optimizes cash flow structurally by automation in SAP of certain manual time-consuming processes as part of MySST (Malaysia Sales and Service Tax).
Streamlined Exemption Reporting
Malaysian regulations require companies to report exemptions for goods procured for manufacturing (RM, PM, SFG). Companies try to meet this requirement manually using the Goods Movement report in the format mandated by the MySST authority. Manual reporting is time-consuming and prone to errors, creating potential compliance risks and delayed cash flow.
The fully automated KGT SAP add-on solution improves a company's cash flow by ensuring exemptions are applied accurately and at the right time. The built-in tax control framework within the cockpit further mitigate the risk of penalties.
Key Features of the SAP add-on
- Exemption certificate validation to confirm eligibility for tax benefits.
- Automated C1 and C3 validation reports for compliance documentation.
- K1 document capture (Import Goods Custom Department Clearance) through a user exit.
- Goods movement reporting for tax audit readiness.
- Email notification functionality to create or update the C1/C3 forms during contracts, purchase orders, and goods receipts.
Benefits
- Improved Cash Flow: Automation ensures exemptions are applied correctly and timely, unlocking tax benefits faster.
- Enhanced Compliance: Built-in controls and audit-ready reports reduce the risk of penalties.
- Operational Efficiency: Streamlines manual MySST processes, saving time and reducing errors.
- Seamless SAP Integration: Delivered turnkey with a dedicated SAP area menu and training, the add-on integrates directly with existing SAP systems without requiring changes to business processes, enabling fast deployment and immediate operational benefits.
The KGT SAP add-on is a fully integrated solution designed to automate Malaysia Sales and Service Tax (MySST) processes for manufacturers. It streamlines exemption reporting, reduces manual work, and optimizes cash flow by ensuring tax exemptions are applied accurately and on time.
Malaysian regulations require companies to report exemptions for goods procured for manufacturing (RM, PM, SFG). Manual reporting using the Goods Movement report is time-consuming, error-prone, and may create compliance risks or delayed cash flow.
The add-on automates exemption application and reporting, ensuring that tax benefits are applied correctly and timely. A built-in tax control framework within the cockpit further reduces the risk of penalties, improving overall financial efficiency.
The solution includes exemption certificate validation, automated C1 and C3 validation reports, K1 document capture for import clearance, goods movement reporting for audit readiness, and email notifications to create or update C1/C3 forms during contracts, purchase orders, and goods receipts.
No. The add-on is delivered turnkey, including training and a dedicated SAP area menu. It integrates seamlessly with existing SAP systems without requiring changes to business processes, allowing fast deployment and immediate operational benefits.