LABUAN: The Madani Government did the “right move” in raising the e-invoice exemption from RM500,000 to RM1 million as it eases the pressure of small and medium enterprises (SMEs) in adopting the system and saving accounting costs, says the Labuan Chinese Chamber of Commerce.
Its Chairman Datuk Wong Kii Yii said raising the exemption, though welcomed, is not enough to remove all the new woes that have crept into businesses recently.
He reminded that Pakatan Harapan (PH) rode into power on the promise of a better deal, but ironically it was not reflected on its reform agenda, with continuing burdensome bureaucracy, new rules and charges, making life challenging for the business community.
“Anger over this is reflected by the poor results of PH components during the recent Sabah election,” he said.Wong listed the following that need to be addressed:
- The mandatory 2pc EPF contribution for most non-Malaysian workers as well as their employers. The contribution imposed additional cost and the payment do not seem rational as foreign workers mostly send bulk of their earnings back home as savings and thereby already have a retirement fund.
- The delay in refund of overpaid tax by IRD. This causes cash flow problems to SMEs. The PM has called on IRD to expedite the refunds in Kota Kinabalu, but did not mention a deadline for this.
- Wage hike should have a pause button for the private sector as many were unable to absorb new higher costs in doing business. If higher wages were to match with rising cost of goods, this should be addressed, instead of chasing costlier goods and services trend.
Wong noted that it would be good if the Government, before implementing new rules or costs, engage with stakeholders who better understand the situation.
“This would be a win-win formula,” he said.
Regarding the ongoing debate on the recognition of Unified Examination Certificate (UEC), Wong said the Government was for all Malaysian and a community should not complain if certain favours are extended to one community like the Bumiputera economic policy.
Similarly the others should also not complain regarding the UTC recognition.
