PETALING JAYA: The National Chamber of Commerce and Industry of Malaysia (NCCIM) has asked the government to review its approach of the current movement control order (MCO).
The agency said yesterday in a statement that businesses, especially those from the SMEs sector would need short term measures to ease financial woes including cash flows and liquidity.
NCCIM said the agency has met for an open discussion with Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz to discuss the plight of the business community, amid the ongoing COVID-19 global outbreak.
Its president Tan Sri Ter Leong Yap has put forward six main issues for an immediate consideration including to allow continuity in operations for the manufacturing sector, and export-oriented industries, construction, mining and e-Commerce.
“As the domestic services sector is severely impacted by a plunge in tourist arrivals, cautious consumer spending as well as the restricted spending and consumption as well as travelling during MCO, it is vital to keep the manufacturing, construction and mining sectors running to help hold up the economy, ” NCCIM said.
The agency had also suggested to increase the amount of wage subsidy to RM1,200, which is 50% of the median salary level of RM2,308 per month per employee from RM600 announced by the government.
For employer contribution to the Employees Provident Fund (EPF), NCCIM has proposed a complete exemption or a 3%-4% cut in contribution rate till end-year.
It also suggested suspension of Sosco, EIS and foreign workers’ levy till end-year.
For tax, the agency has asked the government to waive the tax instalments fall due this year for companies and individuals.
“When the companies submit income tax returns, the balance of tax (without deducting tax instalments) will be paid in due course, ” it said.
NCCIM has urged the Government that while the efforts are to contain and mitigate the spreading of the COVID-19 outbreak, the economy and business activities must not be compromised.
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