Ministry: Price checks after GST reduction ongoing

Shamsul Nizam (second from left) checking a hardware business to ensure its price reflect a reduction of GST to 0.

Shamsul Nizam (second from left) checking a hardware business to ensure its price reflect a reduction of GST to 0.

WARNINGS have been issued to businesses that do not comply with the reduction of the Goods and Service Tax (GST) to 0%.

Under Ops Catut 4.0, which started this month, the Perak Domestic Trade, Co-operatives and Consumerism Ministry (KPDNKK) has warned five businesses regarding the matter.

KPDNKK Chief Enforcement Officer Shamsul Nizam Khalil (pic) said the businesses were warned as they failed to conform to the ruling which requires GST to be reduced to 0%, from 6% previously.

“We have checked some 560 businesses and over 7,500 items since the start of the operation and are still businesses that include GST in their prices,” he told reporters after a spot check at a hardware shop in Ipoh last Wednesday.

“I understand that some large businesses still need more time to change the prices of their goods,” he said, adding that price tags for each item needs to be changed manually and this takes time.

“They will be given until the end of the month to update the price tags,” he added.

Shamsul Nizam said KPDNKK has received 29 complaints on the GST issue.

“Most of the complaints we received were regarding the price of items being the same before and after the reduction of GST, and increases in prices due to confusion over service charges and single-pricing policy.

“However, it is the seller’s responsibility to ensure that the final price paid by the customer is not charged any GST,” he said.

“Customers are also advised to ask for a receipt from sellers to make sure no GST is charged,” he added.

He said all busineses are urged to comply with the new policy and not to take advantage before the Sales and Service Tax is implemented in September.

“We will not hesitate to take action under the Price Control and Anti-profiteering Act 2011 (Act 723), Trade Descriptions Act 2011 (Act 730) and Consumer Protection Act 1999 (Act 599),” he said

Members of the public can call the KPDNKK customer complaints line at 1800-886-800 or at its information centre and strategic operations movement line (PIGOS) at 03-8882 6088 or 03-8882 6245.

Perak , GST