Gold buyers biding their time before new tax

GEORGE TOWN: Checks at several goldsmiths and jewellery shops in the city found that most shoppers were adopting a “wait and see” stance before a new High Value Goods Tax (HVGT) kicks in.

Datuk Ameer Tajudin Abdul Wahab, a jewellery shop owner at Little India here, said this could be because buyers could be hoping for the price of gold to dip first.

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“That is the trend these days,” he said at his shop in Jalan Masjid Kapitan Keling yesterday.

Ameer Tajudin, who has been in the business for more than 30 years, said the current price of gold was high at between RM300 and RM310 per gramme.

Asked about the impending HVGT, he said he and other jewellers were still in the dark over it.

He said the government should hold discussions with industry players on how the HVGT would be executed and implemented.

“Some of us are not even sure when it will start,” said Ameer.

A goldsmith operator who wanted to be known only as Chan, said the price of gold remained high.

“Maybe sales will go up closer to Chinese New Year,” he said.

He said this was also a reason for the government to revise any decision to impose the HVGT on gold.

“At least give us a heads up and lay out the details so that we can prepare early,” the goldsmith operator added.