The government's decision to exempt service tax on service charges and sinking fund contributions for non-residential buildings will help ease the financial impact on the management of non-residential stratified properties:esidential buildings will help ease the financial impact on the management of non-residential stratified properties, said the Malaysian Institute of Property and Facility Managers (MIPFM). According to BERNAMA News Agency, the tax exemption, effective July 1, 2026, provides greater certainty for property owners, businesses, and management bodies when planning their operational and maintenance expenditures.

MIPFM, in a statement today, welcomed and commended the government's decision to exempt Service Tax on service charges and sinking fund contributions for non-residential buildings. The exemption is seen as a significant and timely measure addressing concerns raised by the property and facility management industry regarding the financial impact of the tax on property owners, businesses, joint management bodies, management corporations, and building occupiers.

MIPFM president Ishak Ismail noted that the exemption reflects the government's commitment to engaging with industry stakeholders and considering the operational realities faced by the property management sector. He expressed gratitude towards the government, particularly the Ministry of Finance and the Royal Malaysian Customs Department, for their willingness to listen to the industry's concerns and implement a practical solution that benefits the wider community. This decision, he indicated, demonstrates the government's commitment to evidence-based policymaking through constructive engagement with stakeholders.

Furthermore, MIPFM reiterated its commitment to working closely with the government and relevant agencies to promote sound policies, strengthen industry practices, and enhance the standards of professional property and facility management. They assured their members that they will continue to provide updates on any further implementation guidelines or clarifications issued by the relevant authorities.