Rental – Security Deposit & Utilities Deposit (Refundable)

Good day, Experts.
We (GST registered) rented a shop. Paid Security Deposit RM1000 and Utilities Deposit RM500 (both refundable)
Does our landlord who is also GST registed need to issue tax invoice for the deposit he received?

For now, our landlord refuse to issue tax invoice and he told us that his accountant say don’t need to issue tax invoice.

So I am very confused.

What is the tax code for refundable deposit? Is it out-of-scope (OP – purchase)?

Thanks in advance.

Asked on December 11, 2017 2017-12-11 09:49:49 Business (商家)
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2 Answer(s)

If your landlord is a GST registered person then he should know very well on issuing a tax invoice on the rental of commercial building / shops and account for output tax at standard rate (SR).  Tax invoice is not necessary if the rental is on residential house / apartment / condominium (Exempt supply).

Yes, tax code for refundable deposit is OP.

Answered on December 12, 2017. 2017-12-12 02:43:42

But does the landlord need to issue tax invoice for the refundable tax deposit?

We tried to ask from him but he said his accountant said that no need to issue tax invoice for deposit.

on December 12, 2017. 2017-12-12 02:59:13
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For refundable deposit just the original Official Receipt is acceptable.

Answered on December 12, 2017. 2017-12-12 03:42:37
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