‘Those registered have to collect GST’

PETALING JAYA: Any business that has registered with the Customs Department to collect Goods and Services Tax (GST) will have to charge the 6% tax to their customers.
Federal Territory Customs director Datuk Abd Gani Othman said it does not matter whether the business has reached the RM500,000 threshold, as once they are officially registered, they are duty-bound to collect GST.
A source with the department told theSun that businesses which have voluntarily registered with the department have to collect the tax because it is a legal obligation.
"Many businesses that have reached the threshold have registered with the department so that they can claim back the GST they paid to their supplier," the source said.
He pointed out that some suppliers require business owners to be registered with the department for GST purposes.
This will act as a safeguard for consumers as it prevents businesses from overcharging them.
All charges are stated on each receipt that businesses must present to their customers.
"If a customer is unhappy with the GST charges on his receipt, he can always lodge a complaint with the department," he said.
The public is also urged to ensure that the businesses they patronise have the department's 12-digit GST stickers.
The source said GST is not a cost to business because they can recover it from the Customs Department.
"Because of the option to recover the GST, there has been no drastic increase in prices," he said, adding that this is a kind of protective mechanism for consumers.
The source added that at the end of the day, it is the consumers who pay GST and this can be described as a "consumption tax".
He said all businesses can register and even pay GST online by visiting the department's website.