KUALA LUMPUR, March 30 — Claiming they would end up doubly taxed, Perodua dealers implored the government today to allow them to reclaim the 10 per cent sales tax paid on new vehicles that have been added to their inventory ahead of Wednesday when the goods and services tax (GST) kicks in.
Perodua Dealer Association President Wan Kamal Wan Ismail said dealers have already paid the 10 per cent sales tax currently imposed on each new vehicle secured, and will end up paying another six per cent on every sale under the GST.
"Each independent dealer will stand to lose an average of RM230,000 on double taxation after 1st April," he said in a statement without explaining how they arrived at that figure.
"Perodua dealers consist mainly of medium-sized companies and losses on this scale will have a huge impact on our business, especially on our cash flow and profitability," he added.
Perodua is Malaysia’s second national carmaker.
Putrajaya has come under heavy public criticism over its plan to implement the GST starting this Wednesday, amid claims that Malaysians would be unduly burdened by the broad-based consumption tax.
Last week, demonstrators submitted a list of 106 questions on GST during a protest at the Customs Department’s head office in Kelana Jaya, Selangor.
Nearly 80 people were arrested during the event, 25 of whom including two federal lawmakers were later charged.
