SIBU: Sarawak United People’s Party (SUPP) Bawang Assan has urged the federal government to reconsider the impact of the expanded Sales and Service Tax (SST) on paper-related products, particularly those used in the education sector.
Its branch chief, Kevin Lau, said the recent news on the inclusion of paper-related products, including stationery, under the SST, has raised valid concerns from industry players, especially with the potential increase in paper costs.
“There is a concern that the rise in paper prices will affect the price of books and exercise books.
“The federal government and the Ministry of Finance (MOF) should look into this, especially when these items are heavily relied upon by students, especially in rural areas of Sarawak,” he said.
He said this to reporters during the SUPP Bawang Assan’s Mobile Service2U programme held at an eatery at Jalan Morshidi Sidek here today.
Lau further said that while the SST may be applied at the pulp level — the raw material for paper, but the implications would affect the entire supply chain.
“I think it affected especially the segment of education —which covers the schools and students.
“We hope this matter will not become an additional burden to the parents and students, so that they will still be able to complete their education smoothly,” he said.
Lau hoped that the federal government could explore mechanisms to either exempt paper-related products from SST.
“This requires a very detailed study. And of course, if it can be exempted for students and the education sector, that would be the best,” he said.
