Transport Ministry to refer commingled oil tax issue to MOF for clarification

KUALA LUMPUR, Aug 13 — The Transport Ministry has decided to refer the issue of tax treatment for commingled oil cargo to the Finance Ministry for clarification, Transport Minister Anthony Loke Siew Fook announced today. The Transport Ministry has not yet received any updates on new tax regulations concerning such cargo, according to Loke.

He emphasized that the matter falls under the jurisdiction of the Royal Malaysian Customs Department and the Finance Ministry. Loke made these remarks after addressing reporters at the Transport Ministry’s monthly assembly. His comments came in response to concerns expressed by maritime industry stakeholders regarding the ambiguity surrounding the tax treatment of commingled oil cargo at Malaysian ports.

This issue has sparked apprehension among port businesses, with a maritime expert cautioning that uncertainty over tax treatment could impact companies dealing with such cargo. Commingling pertains to the practice of storing various oil shipments together in a single shore tank prior to their transfer or export.