Exempt mandarin oranges, dates from SST, says PKR MP
Petaling Jaya MP Lee Chean Chung said small businesses and traders rely on the seasonal demand for fruits like dates to cover operational costs. (Bernama pic)
PETALING JAYA : Petaling Jaya MP Lee Chean Chung today urged the finance ministry to consider exempting more fruits from the expanded sales and service tax (SST), particularly mandarin oranges and dates.
He proposed that special SST exemptions be made for the two fruits during the Chinese New Year and Aidilfitri festive seasons, describing it as a targeted fiscal approach that would be sensitive to the cultural and religious needs of Malaysians.
'These two fruits are inseparable from major Malaysian festive celebrations – Chinese New Year and Ramadan, as well as Hari Raya Aidilfitri.
'Imposing a 5% tax on these fruits not only increases consumers' burden but also contradicts the core principle behind the expanded SST's implementation, which is to only target specific groups,' the PKR MP said in a statement.
If the two fruits are not exempted, he said the expanded SST would place even greater pressure on small businesses and traders that rely on the seasonal demand for these fruits to cover operational costs.
Lee's call followed Prime Minister Anwar Ibrahim's announcement this morning that imported apples and oranges would be exempted from the expanded SST, which comes into effect on July 1.
Although he believed that there was no need to consume imported fruits, Anwar acknowledged that many from among the B40 income group would buy apples and oranges, in part due to their affordability.
The finance ministry previously said the expansion of the SST from July 1, including a 5% rate on imported fruits, was aimed at boosting local agricultural demand and strengthening food security.
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