Latest news with #SalesandServicesTax
Daily Express
9 hours ago
- Business
- Daily Express
Study impact of Sales and Services Tax : Planters
Published on: Friday, June 20, 2025 Published on: Fri, Jun 20, 2025 Text Size: Dr Charles also criticised the lack of stakeholder consultation in policy formulation. Kota Kinabalu: The government should first set up a special emergency team to study what will actually happen if they go ahead with the Sales and Services Tax (SST) instead of rushing into, said former Vice Chairman of the Incorporated Society of Planters Dr Charles Chow Kok Cheng. 'The government has a limited window to act with foresight and fairness. First, it should delay the SST expansion until an Emergency Taskforce comprising the Malaysian Palm Oil Board, industry bodies, economists and smallholder representatives can model the full fiscal and economic impact,' Chow said in his analysis of the policy changes. Advertisement He said the SST expansion, which will take effect on July 1, imposes an additional 5 per cent tax on fresh fruit bunches, palm kernel oil, palm fatty acid distillates, empty fruit bunches and other palm-based derivatives. 'Combined with existing levies including a 15 per cent windfall profit tax and export duties of up to 8 per cent, the measures could eliminate up to 11 per cent of industry earnings,' he said. Subscribe or LOG IN to access this article. Support Independant Journalism Subscribe to Daily Express Malaysia Access to DE E-Paper Access to DE E-Paper Exclusive News Exclusive News Invites to special events Invites to special events Giveaways & Rewards 1-Year Most Popular (Income Tax Deductible) Explore Plans Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
Daily Express
10 hours ago
- Business
- Daily Express
More reasons to honour the 40pc tax right: Star
Published on: Friday, June 20, 2025 Published on: Fri, Jun 20, 2025 Text Size: Hiew said the people of Sabah have long endured the underdeveloped infrastructure, lack of educational resources, and insufficient healthcare facilities, a reality of imbalanced development. Kota Kinabalu: The expanded Sales and Services Tax (SST) set to be implemented in July, introduction of a targeted subsidy mechanism for RON95 petrol and the federal government's plan to implement a carbon tax by 2026, are reasons enough for the federal government to immediately implement Sabah's constitutional right to a 40pc net revenue return, without further excuses or delays. Star Tg Aru Division chief Hiew Choon Yu said according to the latest projection by the Inland Revenue Board (IRB), Sabah's tax revenue is expected to reach RM6.2 billion in 2025—a historic high that clearly demonstrates Sabah's major contribution to the national economy and tax system. Advertisement Hiew said the people of Sabah have long endured the underdeveloped infrastructure, lack of educational resources, and insufficient healthcare facilities, a reality of imbalanced development. 'Meanwhile, the taxes collected from Sabah by the federal government each year are grossly disproportionate to the allocations returned to the state. 'Under Articles 112C and 112D of the Federal Constitution, Sabah is entitled to 40pc of net federal revenue collected from the state. However, this constitutional guarantee has never been truly enforced since 1969,' he said. He added that since 1974, Sabah's 40pc net tax revenue return has never been comprehensively reviewed or reassessed. Despite repeated government promises to review it, there has been no concrete progress. Advertisement 'In 2022, the Ministry of Finance even admitted the matter required 'further study,' deeply disappointing the people,' he said in a statement. Hiew noted that since 2024, the government has expanded SST to cover services including logistics, delivery, entertainment, maintenance, and repair—proving that the federal government already possesses the resources and mechanisms to redesign and implement tax policies 'Sabah is not a marginal state begging for handouts—it is part of the Federation and should receive a fair share of fiscal distribution.' * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
The Star
10 hours ago
- Business
- The Star
SST on imported goods up for review
Nice to meet you: Ahmad Zahid shaking hands with a member of Kemas during the Teachers Day celebration. — Bernama BANGI: The expansion of the Sales and Services Tax (SST) on several imported goods, including fruits such as apple and mandarin oranges will be reviewed, says Datuk Seri Dr Ahmad Zahid Hamidi. The Deputy Prime Minister said the decision to impose the SST of between 5% and 10% on fruits not produced locally should be considered. 'I believe it is reasonable for (the new SST rate on certain goods) to be reviewed and I think there will be an adjustment on certain materials to be categorised as taxable. '(But) don't take that conclusively,' he said after officiating the Community Development Department (Kemas) Teachers Day celebration yesterday. Earlier, Mydin Holdings Bhd managing director Datuk Ameer Ali Mydin Mohamed described the move to impose SST on imported fruit as unreasonable because it also affects low-income consumers. Ahmad Zahid said the views put forward by Ameer Ali should be brought to the Cabinet meeting as it touches on the people's needs for imported fruits. 'The revenue from fruit tax to the country is not that high. If SST is imposed, the price will increase,' Ahmad Zahid said, Bernama reported. 'I know the purpose (of imposing SST on imported fruits) is to protect local fruits but we do not produce apples and mandarin oranges. I am sure the Finance Ministry and the Economy Ministry are also looking into the matter,' he added On June 9, the government announced a targeted review of the SST rate which will take effect from July 1. The sales tax rate will remain the same for essential goods, while a rate of 5% or 10% will be imposed on non-essential or discretionary goods. The scope of service tax has also been expanded to cover six new services such as rental or leasing, construction, finance, private healthcare, education and beauty.
Sinar Daily
a day ago
- Business
- Sinar Daily
SST on imported goods including fruits maybe reviewed
He said the fruits are not produced locally but are instead imported entirely from foreign countries, hence it should be reconsidered before imposing SST of between five and 10 per cent. 19 Jun 2025 05:28pm Zahid said the fruits are not produced locally but are instead imported entirely from foreign countries, hence it should be reconsidered before imposing SST of between five and 10 per cent. - Bernama photo BANG - The government will review the implementation of the revision and expansion of the Sales and Services Tax (SST) on several selected imported goods including fruits such as apples and mandarin oranges, said Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi. He said the fruits are not produced locally but are instead imported entirely from foreign countries, hence it should be reconsidered before imposing SST of between five and 10 per cent. Earlier, Mydin Holdings Bhd managing director Datuk Ameer Ali Mydin Mohamed described the move to impose SST on imported fruit as unreasonable because it also affects low-income consumers. - Photo illustrated by Sinar Daily via Canva "I believe it is reasonable for (the new SST rate on certain goods) to be reviewed and I think there will be an adjustment for certain materials to be categorised for tax at five to 10 per cent. "(But) don't take that conclusively," he told reporters after officiating the Community Development Department (KEMAS) Teachers' Day Celebration, here today. Earlier, Mydin Holdings Bhd managing director Datuk Ameer Ali Mydin Mohamed described the move to impose SST on imported fruit as unreasonable because it also affects low-income consumers. Commenting further, Ahmad Zahid said the views put forward by Ameer Ali should be brought to the Cabinet meeting as it touches on the people's needs for imported fruits. "The revenue from fruit tax to the country is not that high. So if SST is imposed, the price will increase. "I know the purpose (of imposing SST on imported fruits) is to protect local fruits but we do not produce apples and mandarin oranges. I am sure the Ministry of Finance and the Ministry of Economy are also looking into the matter,' he said. On June 9, the government announced a targeted review of the SST rate which will take effect from July 1, 2025. The sales tax rate will remain the same for essential goods, while a rate of five or 10 per cent will be imposed on non-essential or discretionary goods. At the same time, the scope of service tax has also been expanded to cover six new services such as rental or leasing, construction, finance, private healthcare, education and beauty. - BERNAMA
New Straits Times
a day ago
- Business
- New Straits Times
Putrajaya to clarify SST expansion, vows no burden on M40 and B40 groups
ISKANDAR PUTERI: The government will issue a clearer explanation on the implementation of the revised Sales and Services Tax (SST) framework, which comes into effect on July 1, amid growing public confusion, said Prime Minister Datuk Seri Anwar Ibrahim. He said recent public statements had led to misunderstandings, particularly over which goods and services will be affected. "There has been confusion, like the claim that bananas will be taxed under SST, but it refers to imported bananas. "We agree that better communication is needed, but our priority remains clear, not to burden the lower-income group or the M40," he told reporters after attending after a Parti Keadilan Rakyat event today. He said the government's aim is to target non-essential imports while ensuring essential goods remain exempt or taxed minimally. Anwar said that although the policy will proceed, there is room for adjustments on specific items if warranted. "We are not reviewing the policy, but if certain items need tweaking, we can do that. "People are upset before reading the list. Let's read it first," he said. On June 9, the government announced a targeted SST revision. While sales tax rates remain unchanged for essential items, a 5 or 10 per cent rate will apply to non-essential goods. The services tax will be extended to six new categories, namely, leasing, construction, financial services, private healthcare, education, and beauty services. Critics, including Mydin managing director Datuk Ameer Ali Mydin, have raised concerns about taxing imported fruits, arguing that it could impact lower-income consumers. Anwar, however, encouraged consumers to consider local alternatives. "Some say even the poor eat imported fruit. I think that's manageable; choose local fruits," he said. The SST revision is part of the government's broader fiscal strategy to improve education, healthcare, and welfare services through enhanced revenue collection.
