This conceptual paper explores the key determinants influencing the successful implementation of a carbon tax policy in Malaysia, with a focus on institutional readiness, perceived fairness, and public trust in government. Framed by the Theory of Planned Behaviour (TPB), the study proposes a theoretical model to analyse how these factors shape carbon tax adoption and public compliance. By integrating insights from international carbon tax experiences and Malaysia’s unique socio-political context, the paper emphasises the importance of transparent revenue use, interagency coordination, and administrative capability in fostering public acceptance. The analysis highlights that while a carbon tax is critical for advancing Malaysia’s climate goals under SDG 13 (Climate Action), its viability depends on the government’s ability to communicate policy fairness, strengthen institutional credibility, and engage stakeholders effectively. The paper contributes to sustainable tax policy discussions by outlining a framework for designing a politically feasible and socially equitable carbon tax system in Malaysia.