No GST let-off for Sibu Municipal Council services

SIBU: The services of Sibu Municipal Council will also be subjected to the 6% Goods and Service Tax (GST) as from today.

However, for some services, the tax can either be rounded up or rounded down.

Chairman Datuk Tiong Thai King said before the council meeting yesterday that only those services which were non-regulatory and enforcement (R&E) would be standard rated and were subjected to GST.

“They include parking fees, swimming pool entrance fees, library membership fees, all types of rental for sports and recreation facilities,” he added.

Tiong said services out of scope of GST were those collections which were meant for R&E. They are business licence and permits, building plans approvals and occupation permits, assessment rates, compounds and penalties.

To a question, councillor Yap Ah Kiet of the Public Health Environment and Municipal Services committee said the GST under the law could either be rounded down or rounded up under the law.

He said in the case of the RM1 swimming pool entrance fee, the council could round it down to just 5 sen for the GST, meaning patron needed to pay RM1.05.

In response to councillor Patrick Tong, he said the public had the right to ask for the invoice for services paid by them showing the amount of GST included.

Meanwhile, council secretary Hii Chang Kee said though parking fee was subjected to GST, motorists would not experience any change as the council had all this while imposed a 6% tax on them.

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