MRA Appeals for SST Waiver on Commercial Rentals

MRA Urges Government to Scrap SST on Commercial Rentals

The Malaysia Retailers Association (MRA) is calling on the government to scrap or defer the implementation of the 8% Sales and Service Tax (SST) on commercial rentals and leasing services. The association warns that this move could further burden businesses and consumers, especially at a time when many retailers are still navigating post-pandemic recovery and rising operational costs.

MRA highlights that:

• The SST on commercial rentals will inevitably lead to higher retail prices, affecting consumer spending.

• Many retailers, especially SMEs, operate on tight margins and cannot absorb the additional cost without compromising business sustainability.

• The tax implementation could impact Malaysia’s retail competitiveness, especially compared to neighbouring countries with more business-friendly policies.

MRA urges the Ministry of Finance to reconsider the SST ruling in the interest of protecting both businesses and consumers, and ensuring a stable economic recovery.

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