SHAH ALAM, 23 Dec: The BN Government lied to the people when they claimed that the Goods and Services Tax (GST), which will be introduced in 2015, benefits the people more compared to the Sales and Services Tax (SST) used currently.
The Member of Parliament for Shah Alam, Khalid Samad, said that the SST is imposed in certain sectors that involve luxury goods and services compared to the GST, which is incurred by all businesses, including grocery stores and ordinary restaurants.
“We are practicing the SST system, 10 plus 6 percent, totaling to 16 percent compared to when it is changed to the GST, it will be 6 percent, lower and more profitable. These are all lies because most sectors do not charge (SST).
“If it is implemented, it is in five star hotels, prestigious restaurants and so on. But it is not imposed at regular stores or mamak restaurants.
“When the GST is implemented, even mamak restaurants will charge the GST although they say rice is not subject to the GST. But when we eat rice at the mamak shop, the GST is charged because it is considered as a final product, different from rice bought at stores,” said Khalid in a press conference at the Shah Alam Member of Parliament’s Office here in Section 13 today.
He said that this will cause most of the people to pay taxes which they have never paid before.
Khalid added that this will make the people’s lifestyle more stressful as a result of a series of price increases for necessary goods and services, as announced by the Barisan Nasional Government after winning the 13th General Election.
