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This
followed the government decision to amend the annual
sales threshold from RM500,000 to RM3 million for
restaurant operators outside hotels effective July 1 to
offset the oil price increase and the food crisis.
Customs deputy director-general (operations) Datuk
Mohamed Khalid Yusuf said the move would deprive the
government of RM200 million in revenue.
He
said the restaurant operators should drop by at the
Customs office to apply for the revocation of their
service tax licences.
"The Customs Department will be monitoring the
restaurants to ensure that they do not collect service
tax from customers," he told a press conference in
Kelana Jaya near here Thursday.
Khalid said restaurants with annual sales exceeding RM3
million which failed to apply for service tax licence
would be charged under Section 29 of the Service Tax Act
1975 and could be fined not more than RM5,000 or jailed
not more than two years or both.
The restaurant operators could also have the offence
compounded under Section of the same Act and fined not
more than RM5,000.
Source
: Bernama - Kuala Lumpur, Malaysia, dated 10/07/2008
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