Goods and service taxes (GST) or the end of rather, has been the talk of the town lately. With the start of 0% GST from 1st of June 2018, a flurry of pricing changes and promos have been seen recently in the automobile industry. This and until further notice from the Ministry of Finance (MoF) to reinstate the Sales and Service Tax (SST), opens a window for customers to purchase cars at 0% GST and pre SST.
Mr. Gregory Bajien, Strategic Partnership Manager and Smartlease expert from MyMotor, says that this would be the right moment for purchasing cars.
“The next one or two months will be the golden month for salespeople and the perfect time for customers to purchase cars. Before SST comes into effect, there would be a window which should be utilised by anyone who’s planning to buy a car this year,” says Mr. Greg.
SST is a one-time consumption tax and cannot be recovered by business owners once it is purchased (which previously possible with 6% GST). Sales taxes will only be obliged to manufacturers while services tax covers services such as restaurants, retailers, housing developers and more.
According to Mr. Greg, SST will make the whole process of selling a car less troublesome but reminds people to be prepared for a slight increase in price once it is implemented.
“If we revert to the previous 10% SST, before the introduction of the current GST, the car prices will slightly rise but keep in mind that this will be the only tax you’ll ever pay for the purchase. Previously with GST, services, as well as insurance, will incur their very own 6% GST. Now without that additional fee, customers will actually be saving some bucks,” says Mr. Greg.
“MyMotor have made immediate changes to our pricing system as well. With Raya just around the corner, we’ll be throwing in some additional promotions with rebates to help customers purchase our cars for this festive season,” he added.
Such promotions include a 3% rebate (off the body price) for every used car purchased from MyMotor, year-long MyAssist’s 24/7 roadside service and assistance with special battery pricing, free road tax up to RM 90 and free petrol worth RM 100. A discount of RM 40 will be offered for any services from Mistertyre (wheel alignment/balancing, engine oil and filter change, tire replacement and more) by purchasing a car from MyMotor till 16th June 2018.
The fully imported Toyota C-HR will be taking a 0% GST, pre-SST spin as well. Pricing for this car will start from as low as RM 137,700 OTR * with a year-long road tax, free one year warranty and MyAssist’s 24/7 free roadside service and assistance. To wrap it up, MyMotor will be giving complimentary petrol worth RM 300 with every successful purchase of the Toyota C-HR until 16th June 2018.