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Thursday, April 2, 2015

GST BLUES: We're getting RIPPED OFF - upset consumers

GST BLUES: We're getting RIPPED OFF - upset consumers
KUALA LUMPUR - Greedy retailers cashed in on the first day of the implementation of the Goods and Services Tax (GST) yesterday, leaving many disgruntled.
A businessman, who requested anonymity, said GST charges were imposed on a newspaper he bought from a 24-hour convenience store in Jalan Imbi yesterday.
“I paid five sen more for a newspaper, it costs me RM1.20 before GST. I thought newspapers are exempted from the tax. This is ridiculous,” he said.
A restaurant in Jalan Hang Kasturi increased the price of Chinese tea by 10 sen.
“It was just 60 sen on Monday and it is now 70 sen,” said a reader, who wished to be known as Gary.
“When I asked the waiter why the price had increased, he merely said ‘boss suruh naik’ (the owner was the one who increased the price).”
He said it was unfair for traders to increase prices overnight and take advantage of the GST.
“No receipts are issued and it shows the shop owner is profiteering,” he said.
In Petaling Jaya, a bakery decided to raise the price of selected buns and pastries by between 10 and 20 sen.
A chicken sausage bun was priced at RM2.80 on Monday but sold at RM3 yesterday. The receipt stated that no GST was imposed for the item.
A cashier at the bakery said the item was not subject to GST but prices were increased as “instructed” by their headquarters.
“We were told to raise prices by 10 sen for some buns and 20 sen for selected pastries,” said the staff, who declined to be named.
Malay Mail photographer Razak Ghazali said he went to a pharmacy in Kelana Jaya to buy six packets of rehydration salt, which normally costs RM1.50 each.
“But now it is RM1.60 a packet,” he said.
“The cashier said they were unable to change the price tag on time, and decided to highlight it with a different colour to indicate the price difference upon payment.
“Instead of paying RM9, I was forced to pay RM9.60. This is unethical, if they can’t change the price tag on time, they should charge based on the old price.”
Checks at another pharmacy in Section 14, Petaling Jaya, showed the price tags of toiletries were removed, leaving customers confused.
“There were no price tags displayed for dental care products and sanitary napkins,” said a customer, who asked to be identified as Linda.
“I picked up a toothbrush and tube of toothpaste and had to take them to the counter to get the prices checked. The cashier had to look through a handwritten list to tell me the new price.”
After paying for the items, Linda realised the new prices included GST.
She said the cashier took a long time to answer queries from customers and caused a queue.
A reader, who wished to be known as Lim P.S., asked why baby formula was not exempted from GST.
“I’m confused. The Customs website states baby formula is exempted but I bought two boxes of milk for my baby yesterday and was charged six per cent extra,” she said.
“The cashier was unable to answer my queries. No one seems to know anything.”
In Penang, Domestic Trade, Cooperative and Consumerism director Mohd Nawardi Saad said they checked 23 outlets and found a cosmetic shop over-pricing an item by 10 per cent.
“The owner said the price includes six per cent GST and four per cent for foreign exchange and we have asked him to prove his claim,” he said.
He said the department would take action against the owner under Section 21 of the Price Control Act, 2011 if he failed to provide proof of the necessity to raise the price. - Malay Mail

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