LAWAS: The federal government has been asked to omit flights in East Malaysia, particularly for the rural air service (RAS), from the goods and services tax (GST).
Second Minister of Resource Planning and Environment Datuk Amar Awang Tengah Ali Hasan said Sarawakians are especially dependent on air travel because of the vastness of the state and its challenging terrain.
“It is only fair that RAS fares are zero-rated and exclude GST, and it should include flights in and out of the state as this is an essential mode of transport,” he said after presenting the 1Malaysia People’s Aid (BR1M) as well as communal reserves gazette and perpetuity land titles in Long Tengoa on Wednesday.
According to the Malaysian Association of Tour and Travel Agents (Matta), Sabah and Sarawak handled over 17 million passengers, representing 41.5 per cent of total national passenger movements in 2013.
Earlier this week, Matta supported the call by Sabah Tourism, Culture and Environment Minister Datuk Seri Panglima Masidi Manjun requesting the federal government to rethink imposing GST on domestic flights in Sabah and Sarawak.
Continue reading (Incl. Pic) at: Call for GST-free East Malaysia flights.