QUOTE(KnightSports @ May 17 2018, 09:59 AM)
Personally, of course i am hoping we get the 6% GST back in cash form.
I am not expecting it to be any way else as well once govt. fully clarifies the mechanism for all parties.
The main problem here from an economic point of view is that business operators (especially car makers and every other industry that depends on sourcing external materials) had incurred GST up front for materials from multiple parties they use to build a vehicle. Whether the govt. promises them the ability to claim back their input tax back or whether the govt. actually have the money in their reserves to pay them back is also another matter.
If you are a business operator today and you have a lot of stock of whatever you are selling, do you think you want to sell it without the GST amount charged (which you have paid) without having confirmation that you will get the money back from the kastams department?
There is actually a difference between getting your money stuck somewhere where you can get it back later vs totally losing those money.
So, it is imperative that the govt. clarifies this doubt to corporations as this indirectly affects the consumers.
A mandate is a mandate, but if the mandate causes business owners to lose money. There will be an uproar between business owners about this as well.
p/s: i am not speaking of this lightly because i am also taking delivery of a new car soon and this could not be a worst time as i do not have information on how this is going to go
From the Media Release by Ministry of Finance clearly stated that businesses still have to submit their GST-03 and also continue to claim input tax which they have already paid prior to 1st June.
Business owners wont lose money, unless they don't claim. Meaning from 1st June, no more GST & no more input tax to claim.
If you collect your in May, they have to issue tax invoice with GST. No choice you have to pay for GST. Just tell your SA to delay to June and benefit the zero rated.. lol
RM 130k+ car can save you almost 8k in GST.