Abolish tax on credit cards after GST

WITH the implementation of the Goods and Services Tax (GST), the tax of RM50 for each principal credit card and RM25 for supplementary card should be abolished and based on the GST of 6%. Each credit card should be taxed based on the annual subscription fee of the respective cards. Alternatively, in line with the original objective of reducing credit card debts, the tax could be on the amount unpaid at each billing period.

A restructuring of the credit card tax would be fair, especially to credit card holders who pay on time.