No SST on satay in food outlets, minister says

Finance Minister Lim Guan Eng speaks to reporters after attending a briefing session on SST in Ipoh September 1, 2018. ― Picture by Marcus Pheong
Finance Minister Lim Guan Eng speaks to reporters after attending a briefing session on SST in Ipoh September 1, 2018. ― Picture by Marcus Pheong

IPOH, Sept 1 — There will be no Sales and Services Tax (SST) imposed on satay sold in food outlets, said Finance Minister Lim Guan Eng.

He said the SST on the popular Malaysian food is imposed during the processing stage for the purpose of packaging and sales.

“It is the sales that gets the SST, not at the outlets,” he told reporters after a briefing on the SST at a hotel here today.

Lim was replying to a question if the SST will be imposed on chicken or beef satay sold in food outlets as it was among the items listed as taxable under ‘preparation of meat’.

Lim also reiterated that traders and business premises owners who have not updated their systems to implement the SST to do so immediately.

He said failure to do so would mean they could not charge the SST and would have to use their own funds to pay the tax to the government.

The call was also made by Director-General of the Royal Malaysian Customs Department Datuk Seri T.Subromaniam, who said friendly visits by the department found that there were still food providers who had not updated their systems.

“We advised them to update their systems so that the six per cent services tax can be charged,” he said.

He also advised traders who faced problems such as technical issues, to contact the department for assistance. — Bernama