PUTRAJAYA, Aug 30 — The Finance Ministry has raised the threshold on food outlets that will be charged the sales and service tax (SST) from September 1 from RM500,000 to RM1.5 million.
Finance Minister Lim Guan Eng said today that the sales and service tax (SST) will be collected only from restaurants, coffee shops and other eateries like mamak outlets earning above RM1.5 million in annual sales.
“We decided on that because we don’t want food prices to increase. The people must be our eyes and ears to ensure prices are in check,” he said during a media briefing here on the SST.
Lim said engagement with businesses will continue even after the SST is implemented on September 1 and similarly, the exemption list will be updated.
“Just like when we discussed with the nasi kandar operators and heard their feedback and proposal to raise the threshold from RM500,000 to RM1 million, and finally, to RM1.5 million. I said that is the final (threshold) and not any higher,” he said.
“I believe all eateries will adhere to what they have promised: To not raise the price of food at their premises.”