"This will be implemented nationwide until a further announcement is made", the Ministry of Finance said in a statement.
In press release by the Finance Ministry today, the ministry said the measure to impose GST at zero rate will take effect starting June 1, 2018 and applies to the while country until further notice. Items that have already been GST-exempt will remain as is.
"As such, all registered traders must follow the decision of the zero rate now".
"At the same time, businesses must ensure that prices of goods and services comply with the Price Control and Anti-Profiteering Act 2011 at all times", it added.
The ministry's announcement comes nearly a week after the Pakatan Harapan (PH) coalition took over as federal government.
All this comes in the wake of Pakatan Harapan's win in the recently concluded GE14, where in their pre-election manifesto they pledged to completely do away with GST within a 100 days should they win, and return the Sales and Services Tax which the GST replaced in 2015.
Zero rating would essentially remove the price impact of the GST, but retain its tax reporting functions.
The 6% GST came into effect on April 1, 2015.
The new government has said that its income would not be affected by doing away with the tax.
Earlier, Prime Minister Tun Dr Mahathir Mohamad confirmed that he instructed the government to stop GST collection as well as impose a fixed petrol price.
Zeti said this could be done by re-prioritising projects, improving efficiency, cutting wastage in the public sector and by seeking new revenue sources.