KOTA KINABALU: The president of the Kota Kinabalu Chinese Chamber of Commerce & Industry (KKCCCI), Datuk Michael Lui, said that the 2014 budget is prudent, comprehensive and achievable.
“It is likened to the taste of bitterness to start with, but is confident of the sweetness to follow through,” he said in a statement yesterday.
Lui also welcomed the abolition of 11% of Sales and Service Tax, to be replaced by 6% of Goods and Services Tax (GST) which is indeed coherent to avoid double taxation.
However, he reckoned the 6% GST still smacks of some excessiveness.
“The impact on the consuming public is unavoidable. The Federal Government should continue to carry out survey and get feedback from the populace on the affordable GST to avoid excessive burden on the people,” he said.
He hopes from now onwards until April, 2015, the government would step up promotional works propagating the merits of GST, in order for the rakyat to have a better understanding.
Lui also stressed that the consuming public must be ready and prepared to face the impact on their daily livelihood as the result of implementation of GST.
Regarding the 30% Real Property Gains Tax (RPGT) on transaction of properties within three years, and within four to five years incurring 20% and 15% respectively, he said it should be viewed with the right prospective.
With high RPGT, the negative impact on speculative investments would be reduced, caused by unreasonable manipulation of real estate prices. The increase of purchase of minimum property value from RM500,000 to RM1 million for foreign buyers would also have similar economic impact, he pointed out.
Lui also welcomed the allocation of RM312 million to upgrade the airports in Kota Kinabalu, Sandakan and others, as well as commissioning of Sipitang Urea Complex and Lahad Datu Natural Gas Power Plant, releasing RM66 million for equipping Queen Elizabeth Hospital with the latest high-tech medical equipment.
The other measures of welfare scheme conceived for the people of Sabah, included the increase of BRIM from RM500 to RM650. The eligibility for the beneficiaries is now adjusted to a minimum income of RM4,000 per family.
The students?financial assistance of RM100 has been increased to RM450 under BRIM and extended to family income bracket of between RM3,000 to RM4,000. Both parents whose income is less than RM900, the child is entitled to monthly RM250 educational textbooks grant. Primary and secondary students are each entitled to BRIM RM250 voucher for textbooks.