Synn Store BLOG - Adjustment to Diamond and Shop Prices for Malaysia

Announcements

Dear Player,

We understand that any price adjustment can have a significant impact on the game ecosystem and community. Therefore, we would like to inform you in advance about the price adjustment:

Starting March 27, 2024, we will implement a reasonable price increase for the Malaysia region. This adjustment is in response to the significant decline in currency exchange rates and the increase in the value-added tax over the past two years. As a token of our appreciation for your support, from March 27, 2024, to April 16, 2024, we will maintain certain payment method prices and offer recharge bonuses until the official adjustment after April 16, 2024.

If you have any questions, please feel free to contact us via the Customer Service button in the top right corner of the game interface. Thank you very much.

The MLBB Team

CHANGE OF TAX RATE FROM 6% TO 8% - EFFECTIVE 01 MARCH 2024 As announced in the Budget 2024 by the Minister of Finance, the service tax rate on digital services provided by Foreign Registered Person will increase from 6% to 8%, effective from 01 March 2024.

Here's a breakdown

This message appears to be a notification from the MLBB (Mobile Legends: Bang Bang) Team regarding a forthcoming price adjustment for the Malaysia region in their game.

1. Reason for the Adjustment: The message explains that the price adjustment is due to two main factors: a significant decline in currency exchange rates and an increase in the value-added tax (VAT) over the past two years. These economic changes likely affected the cost of maintaining and operating the game in Malaysia.

If you check Tradingview, you'll observe notable fluctuations in prices, with a shift from 4.1878 MYR to 4.6847 MYR, representing an increase of 11.86%.

Digital Service Tax

• Tax Rate Increase: The Malaysian government has decided to increase the service tax rate on digital services provided by Foreign Registered Persons from 6% to 8%.
• Effective Date: The new tax rate will come into effect from March 1, 2024. This means that any digital services provided by foreign entities to Malaysian consumers will be subject to the higher 8% service tax rate starting from this date.
• Budget 2024 Announcement: The decision to change the tax rate was announced as part of the Budget 2024 by the Minister of Finance. This indicates that it is a governmental policy change aimed at regulating and potentially generating revenue from digital services.
• Guidelines: The announcement mentions that a corresponding guideline will be issued by the Royal Malaysian Customs Department (RMCD) in due course. This guideline will likely provide further details and clarification on how the new tax rate will be implemented and enforced.

2. Implementation Date: The price adjustment will take effect starting March 27, 2024. This gives players some time to prepare for the change.

3. Special Offer Period: To show appreciation for the players' support, the MLBB Team is offering certain payment methods at their current prices and providing recharge bonuses from March 27, 2024, to April 16, 2024. This means players can still take advantage of the current pricing and receive additional benefits before the official adjustment occurs.

Expectations

In the future, players in Malaysia can expect price adjustments in Mobile Legends: Bang Bang due to economic factors. Effective March 27, 2024, prices will increase to offset currency exchange declines and a VAT rise from 6% to 8%. The game's sustainability in the region will be maintained. A special offer period from March 27 to April 16, 2024, will allow players to benefit from current pricing and recharge bonuses. Stay informed for updates from the Royal Malaysian Customs Department regarding the new tax rate.

Based on the fluctuations in the Malaysian Ringgit (MYR) and considering the service tax, it's my genuine belief that the price of the Mobile Legends Malaysia Pack may see an increase of up to 16.00% for both via User ID and Ingame prices.

Alternatives

Yet, the pricing for Global Packs like Mobile Legends Special, Global, Global 2, Indonesia, Premium, and those accessed via login might remain unaffected by these adjustments, thereby potentially causing the market price for these packs to rise.