KFC says statement on SST misinterpreted

Yesterday, KFC released a statement denying claims on social media that its prices have risen drastically. — Reuters pic
Yesterday, KFC released a statement denying claims on social media that its prices have risen drastically. — Reuters pic

KUALA LUMPUR, Dec 27 — QSR Brands (M) Holdings Bhd, the parent company of fast-food chain KFC, clarified today that it did not mean to imply that the Sales and Services Tax (SST) was responsible for its price increase this month.

In a follow-up statement today, it explained that the tax regime made no difference to its retail prices as it is levied at the same rate as its predecessor.

“The marginal price adjustment has no relation to the SST, as previously the rate of six per cent goods and services tax (GST) was similarly charged to our customers.

“To this end, we hope our customers understand our menu has been specially put together to offer value for money options that cater to the different needs of customers,” the statement read.

Yesterday, KFC released a statement denying claims on social media that its prices have risen drastically.

It presented the increase as a price adjustment that also incorporated the SST. This and the GST were previously not included in the listed prices and imposed as a separate item.

This led to former prime minister Datuk Seri Najib Razak using the price increase to criticise the government and its decision to repeal the GST that he had introduced.

On Tuesday, a Facebook post claiming that a KFC outlet in Perlis had drastically increased the prices of its menu items started to spread on social media. 

According to the post, the price of a KFC Snack Plate had increased from RM12.30 to RM15.30 while the Dinner Plate set had gone up to RM19.60 from RM15.60.

The Domestic Trade and Consumer Affairs Ministry said today it is investigating KFC and rival fast-food chain McDonald’s over complaints about their price increases.

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