With the economy expected to worsen in the coming months, the state government of Penang is easing the people’s burden by absorbing RM55.19 million worth of assessment rates for property owners as well as Goods and Services Tax (GST) for services within the state, reported Malay Mail Online.
Penang Chief Minister Lim Guan Eng revealed that all low medium cost, low-cost housing and kampong house owners within Penang will be exempt from paying this year’s assessment rates.
“The remaining property owners, including commercial properties, will be given six percent reduction,” he said during the launch of an awareness drive on the exemption at Penang Island City Council (MBPP).
The cost of the exemptions, amounting to RM14 million, will be absorbed by the Seberang Perai Municipal Council (MPSP) and the MBPP.
The six percent reduction in assessment rates for the other property owners will see the two councils absorbing a total of RM21.74 million.
MPSP and MBPP will also bear RM19.36 million in GST charges this year. The two councils had waived RM19.36 million in GST charges last year.
“We expect the economy to worsen in months to come especially with the increase in petrol prices and also increase in cooking oil prices so this exemption and reduction in assessment rate is to ease the people’s burden,” explained Lim.
He attributed the state’s ability to offer exemptions and reductions to its annual budget surpluses.
Radin Ghazali, Content Writer at PropertyGuru, edited this story. To contact her about this or other stories email radin@propertyguru.com.my
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