This is the worst year for our business so far. Over the years the second half of the year was the half that would pull our numbers out from the red. But this year it is so weak that it looks increasingly likely that it would not be enough barred a miracle. This bloody yoyo between GST and SST version 2 didn’t help. In fact I have feeling that our business would be slightly better off if GST remained in place. That Minister of Finance aka Lim Guan Eng is doing nothing of the sort that will boost the consumer confidence. He is just very good in blowing out bad news after bad news in the name of making the previous government, or in particular Najib, looks bad. He’s certainly not the brightest bulb in the ruling coalition, but hey he somehow manages to climb up the ranks, probably with no little help from his father Lim Kit Siang.
Anyway, it’s the 1st of September, the day when SST version 2 commences. Our business won’t have to charge a 6% service tax, because LGE made a U-turn after much complaints from F&B businesses. The threshold was set to be RM500k revenue a year before a business needs to charge the 6% service tax. Then it was revived to RM1 million. And yesterday, or just a few days ago, the threshold was further revised to RM1.5 million. Big deal. The threshold for the previous SST, before GST was implemented, was bloody RM3 million! There will be another round of price increase you better believe it.