KUALA LUMPUR: Telco companies who are stubborn and charge the Goods and Services Tax (GST) on prepaid mobile cards will be brought to court, said the Finance Ministry.
Deputy Minister Datuk Ahmad Maslan told the Dewan Rakyat today that the Customs Department have called up the companies to discuss on the issue.
“40 per cent of complaints received regarding GST yesterday centred around prepaid cards that were charged GST.
“Prepaid cards should not be charged more than usual because they have to substract the six per cent Sales and Services Tax (SST) before adding the six per cent GST. By right, the price of the cards must remain and not increase,” he said.
Telco companies who were still found to charge GST on the prepaid cards after being warned against doing so, Ahmad said, would be brought to court.
“This will be regarded as the first anti-profiteering case we have faced so far,” he said.
Ahmad added that the feedback and questions received from consumers on the first day of GST implementation yesterday was a ‘good start’ for the country and the system.