Malaysians have a tax holiday that will see a gap between the GST is abolished at the start of June and when the SST is introduced at the start of September. Malaysians enjoy one of Southeast Asia’s lowest inflation rates, and with the removal of a consumption tax, consumers are getting an added boon. Tax holiday gives consumers an opportunity to enjoy buying goods at a reduced rate.
When the government announced that the GST will be set at zero-percent from 1 June, many companies started to introduce offers to consumers to cash in on the GST-free rate. For instance, Perodua and Proton are offering rebates for cars sold before the end of the month. Based on the offers, consumers will pay lower prices after 1 June or get the benefits through other means if they buy the cars before that date.
When the GST is at zero-percent, the consumers can buy a car because it is so much cheaper now. For example, For example, prices of HYPERLINK “https://says.com/my/news/perodua-car-prices-slashed-up-to-rm3-500-after-zero-rated-gst” o “Link: http://says.com/my/news/perodua-car-prices-slashed-up-to-rm3-500-after-zero-rated-gst” “_blank” Perodua vehicles are priced in average 5.6% lower now that there’s 0% GST. Even used cars are expected to be cheaper, according to Federation of Motor and Credit Companies Association of Malaysia (FMCCAM) president Datuk Tony Khor Chong Boon. Other than that, consumers can hunt for new properties because of the reduction in the selling price of new residential properties due to lower cost of construction following the zero-rating of GST for building materials and construction services. Consumers also take this opportunity to buy expensive or luxury goods which have become a little cheaper during tax holiday. Rather than buy the expensive or luxury goods with GST or SST, the consumers can save some money for the future.