Posted by Rocked > 2016-03-01 08:57 | Report Abuse

During the pre GST all the retailers and wholesalers started increasing the price. Subsequent after the GST prices were soaring high. This was because eating out meant paying GST not only for food but services. Eg. If food&drink was RM8 and service was 10%, the GST of 6% will be levied on RM8 + 80cents. Essentially you are paying RM9.33. a staggering RM1.33 above the cost of food and drink. This is why many eatery in malls have closed down last year with 260k businesses not renewing their license. From this exercise RM50Bil was collected from GST. This does not include the exercises of licensing example those of GDP (Good Distribution Practice) leading to the licensing etc another amount of roughly RM30k to get all in place for each entity wishing to continue. Now lets see the shit we are in. Petronas just posted a loss for Q4 2015 of RM4.69Bil and a STAGGERING PLUNGE of Profit 64.5% (to RM13.16 Bil) compared to 2014 y-o-y. Roughly profit in 2014 was approx RM37 Bil. And thats not even the best profit as yet. 2013 was one of the best year for Petronas posting RM54.11Bil while the previous year 2012 they did RM49.11Bil) So in short with the above stats, the RM51Bil from GST more than covers for the earning losses of Petroleum and this does not cover the licensing yet. Example, 2013 being the best year we did RM54.11B and 2015 we did RM13.16Bil but withRM51B from GST we did RM64.16B. Some of you want to argue CPO price also affected right? That would hv been more than covered by the one time licensing. And now they want to remove the subsidy of wheat flour for 25kg from RM33.75 to RM42. Another staggering 24.44%. Surely they cannot blame the mamak shop or noodle seller using this as their food base. Surely they are not going to say errrr "Don't eat flour base food if it affect you right??? Like eat more rice or don't eat roti canai, pan mee, noodle selective on bread only without wheat flour etc. This is essentially forcing us to not only stinge but change lifestyle altogether. How much will they increase? 5%? 10%? 20%? if 5% to 10% approx 25 to 50cents. How much will the Govt save or make? Essentially this is a subsidy come income because it has been given to the rakyat since time in memorial of my humble existence. Just to give you a rough number....each mamak shop may use avg 6-8 bags (25kg) and similarly small breadshop. Bigger breadshop would use 12 - 16 bags. How many mamak shops do we have and how many breadshop or noodle shop and stalls? What will happen? Currently they state that it is only the 25kg flour affected, which will affect the retailer of business using this commodity which is most. BUT WHAT WILL AFFECT MORE IS THE RIFT IN PRICE BETWEEN HOME COOK AND EATING OUTSIDE RIGHT? IF GST EARLIER KILLED ONE PORTION OF RETAILERS, THIS IS FINISH OFF MANY OTHERS I am sure those UMNO supporters are laughing hee hee haa haa with tear coming down their cheek because roti canai their staple food kena liao. Or maybe they still have the way of the khalifah like Nazri (who said he will support the leader whether right or wrong all the way) even to hot and fiery hell?