Some Sarawak hotels may absorb SST for 2018: MAH

MIRI: Some hotels in Sarawak may absorb until the end of this year the Sales and Service Tax (SST) to be reintroduced on Saturday, according to the Sarawak Chapter of the Malaysian Association of Hotels (MAH).
MAH Sarawak Chapter honourary secretary-general John Teo Peng Yew said today the reintroduction of the SST would see the imposition of a six percent service tax on the cost of rooms, food and beverages.
"We should not be seeing much price difference as compared to when we were paying the six percent Goods and Services Tax (GST)," he told Bernama.
Teo said that contrary to public perception, the selling price at business premises that impose the six percent service tax would likely remain the same but the tax would be added to the bills.
"Do bear in mind that this is the tax being paid to the Malaysian government and collected by the hoteliers, pubs, restaurants, and food and beverage cafe owners on behalf of the government," he said.
He also said that consumers were now budget-conscious and all government departments were cutting costs, and this could have an impact on hotel operators when the SST is reintroduced.
The general manager of the Meritz Hotel, Miri, said the hotel would absorb the SST for the rest of 2018 and, at the same time, lower the room rates. — Bernama