In many countries around the world, where gambling is lawful, gamblers have to pay a small amount of tax for their hard-earned winnings to the government despite the fact that it might be ridiculously unfair for them. In Malaysia this year, most gambling activities such as casino, lotto, betting, horse racing, togel online and even clubs will be taxed at 6% under the SST (Sales and Service Tax) by the government starting from this September 2018.

According to the Minister of Finance, Lim Guan Eng said that the SST is reasonable for both the government and business and it is extremely unlikely that the SST will burden the people more than the GST. However, the new government has received many backfires from the people as it is said to be one of the worst policy changes they have seen in the new administration as the price of goods and services will increase. The people are wondering if this is the Malaysia Baru, they would not hesitate to change the government in the following 5 years.

Among other services that will be charged with SST are;

  1. Accommodation services (hotel), shared facilities, apartments and homestay.
  2. Restaurants services which include takeaway meals, catering, food trucks and beverages at all outlets.
  3. Insurance and Takaful services to businesses are extended to general insurance coverage offered to individuals excluding medical insurance.
  4. The rental services which cover all rental of vehicles including those registered under the Tourism Vehicles Licensing Act 1999.
  5. All services at nightclubs, private clubs and golf clubs or target areas.
  6. All telecommunications services include additional services such as apps and games in online packages, internet services and paid television (satellite and Internet).
  7. IT services.
  8. Domestic electricity for more than 600 units for each month.
  9. Aviation and airport services including local helicopters, except in Sabah and Sarawak.

However, the people are currently imposing on no SST for fundamental items such as fish, milk, potatoes, bicycles, coffee, tea, sugar and other essential items.