Dr Wee Govt Must Clarify If May 1 Sst Move Will Proceed


 
Briefing about the upcoming 5th World Presidents' Conference by Datuk Seri Dr Wee Ka Siong. 28 NOVEMBER 2024 一CHAN TAK KONG/The Star
PETALING JAYA: The government has been urged to clarify whether the revised Sales and Service Tax (SST) that was planned for May 1 will proceed as planned, be postponed or be cancelled altogether.
MCA president Datuk Seri Dr Wee Ka Siong (pic) said the Finance Ministry had informed him in a written reply dated Feb 6 that the revised SST would be gazetted in the first quarter of this year following thorough consultations with stakeholders.
“The proposed implementation includes an increase in the tax rate on certain products as well as an expansion of the tax scope, in addition to the service tax rate hike and scope expansion that was implemented in March 2024,” he wrote on Facebook yesterday.
However, Dr Wee, who is also Ayer Hitam MP, pointed out that the gazettement has yet to take place and little has been heard of it in Parliament.
“Until now, the revised SST has neither been gazetted nor widely debated in Parliament.
“There is also little evidence of meaningful engagement with industry representatives,” he said.
Dr Wee also expressed concern that the government might push forward with the implementation without addressing market concerns or allowing sufficient time for planning and adjustment.
“In fact, it is too late to schedule a discussion during the second meeting of this year’s Parliament session on June 23, should the original implementation date for the expanded SST remain unchanged – that is, May 1,” he added.
With less than 25 days left before the scheduled date, Wee called on the government to be transparent about its plans, stressing the impact of such uncertainty on businesses and the public.
“The government must clearly state whether the SST implementation scheduled for May has been cancelled or deferred.
“If (the move has been) deferred, please transparently announce the new target date,” he said.
He said such clarity from the government was crucial in helping businesses, particularly in the manufacturing and export sectors, plan ahead and reduce market uncertainty.
“It will also provide some relief to the public, who are already struggling with the high cost of living and mounting economic pressures,” said Dr Wee. - Star


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