Kota Kinabalu: Many businesses in Sabah were relieved to learn that recommendations to reimpose Goods and Services Tax (GST) from three per cent (down from previously six per cent) to collect more revenue for the Federal Government did not materialise in the 2021 Budget proposals.Sabah is one of the highest costs of living and costs of doing business in the country with uncompetitive utility charges and poor infrastructure development, leading to high transportation costs and inefficient supply chain that need improvement, as long espoused by Datuk Wong Khen Thau, now heads the Sabah branch of the Malaysia International Chamber of Commerce and Industry (MICCI).
“Imposing GST at this time only aggravates prices of goods and services, lowering purchasing power, increasing the costs of doing business, sap consumer spending and dampened business confidence to rebound from Covid-19 restriction measures and slump.”
Advertisement
