Exemption to RM50 Tax for one Credit Card per person?

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Do you think should be given exemption for 2 cards or just 1 card? Malaysian Mirror - Monday, 09 November 2009 16:29

ALOR SETAR - Kedah Gerakan youth chief Tan Keng Liang has called for the government to allow the exemption of a service tax on credit cards so as not to penalise users who do not abuse the facility offered. Last month, Prime Minister Najib Razak had proposed the implementation of a RM50 service tax on principal credit cards and a RM25 service tax on supplementary cards for the 2010 Budget. Tan urged the government to let each Malaysian holding one principal credit card be exempted from paying the RM50 tax. He also pressed for the removal of the RM25 tax for supplementary card holders such as spouses or children. The good and bad In a statement to the Ministry of Finance, Tan lamented that while there are abusers of credit cards, there are many more Malaysians who use credit cards out of sheer  convenience. They used them to buy goods and services online apart from booking airline tickets and making hotel reservations and paying the phone and utility bills, he said. Tan also said the use of a credit card would mean people could reduce the amount of cash they have to carry, improving personal security. Find a balance Credit cards can also be a source of emergency funds, he added. The government's attempt to encourage prudent financial management by checking misuse of credit cards should not undermine e-commerce or penalise users who know how to manage their finances, he said. http://www.malaysianmirror.com/homedetail/45-home/18405-gerakan-pushes-for-service-tax-exemption