K8 cargo: Businessman seeks clarification from MOF, Customs, Petronas

A businessman has asked the Ministry of Finance, the Royal Malaysian Customs Department, and Petronas for a clear statement on the rules and taxes surrounding petroleum cargo handled under the K8 declaration procedure. Datuk Seri Jeyenderan Ramasamy, CEO of Maritime Network Sdn Bhd, wants the authorities to clarify whether petroleum cargo stored in shore tanks at Johor’s Tanjung Langsat Port is allowed, what paperwork is needed, and how it should be taxed.

Following a letter from the Malaysian Anti-Corruption Commission (MACC) on August 20, the review found no basis for an offence under the MACC Act 2009 nor any government revenue leakage. However, the industry still needs to know if the practice is permitted, what documentation is required, and how the tax treatment is determined.

The clarification is crucial to remove uncertainty and ensure compliance with regulations, customs, and tax requirements for petroleum cargo handled through transshipment operations.