Yachts are not considered as items which have an implication on the economy or as investments, Johari said. ― Reuters picKUALA LUMPUR, Nov 13 — Private jets and yachts are not exempted from the Goods and Services Tax (GST), a minister said today.
Commercial jets as well as oil and gas floating storage and vessels, however, are exempted as they are used for “very significant investments”, said Finance Minister II Datuk Johari Abdul Ghani.
“YB, for your information YB, when the government plans its investment strategies, we prioritise the effects of it on the economy,” Johari said in reply to PKR’s Kelana Jaya MP Wong Chen.
“However, if someone buys a private jet, if someone buys a private yacht, they then have to pay GST.
“Those things are not considered as items which have an implication on the economy, as well as investments. For that, we will charge (GST),” he added.
Wong then stood up to again clarify the Johari’s reply, asking if such items were really not exempted.