
Domestic trade and cost of living minister Armizan Mohd Ali said the government was assessing the impact and effects of the upcoming SST increase.
“For your information, matters related to the SST increase were discussed at the implementation monitoring committee meeting chaired by the deputy prime minister two weeks ago,” he told the Dewan Rakyat during minister’s question time.
“There is a special working paper to examine its effects and impact.”
Armizan was responding to Wee Ka Siong (BN-Ayer Hitam) who, in a supplementary question, urged the government to consider exempting water and electricity services from the 2% SST hike.
The SST rate is set to rise from 6% to 8%, starting March 1.
Wee previously questioned the rationale behind increasing the tax rate on utility bills while exempting other necessities like food and beverages, and telecommunications.
He said increasing the SST to 8% for utility bills will further burden consumers.
“God willing, the matter raised by Ayer Hitam (Wee) will be brought for review and presentation at the Naccol meeting scheduled for March 20 for further consideration,” Armizan said.