MOST people did not believe it when told that the goods and services tax will be zero-rated beginning June 1.

They thought it was a prank similar to a fake Finance Ministry statement claiming that GST would be abolished, which was circulated on Monday.

When they found out it was indeed true, they expressed astonishment that the Pakatan Harapan government could pull it off so soon.

They now want to see the prices of goods and services drop quickly.

The consumption tax introduced by the previous Barisan Nasional government on April 1, 2015, has been blamed for causing the cost of living to increase in the country.

The Finance Ministry yesterday issued a statement announcing that GST would be zero-rated on June 1, covering all locally manufactured and imported goods and services.

The ruling will be enforced nationwide, and all businesses are to comply with the decision and make sure the prices of goods and services are set in accordance with the Price Control Act and Anti-Profiteering Act 2011.

Scrapping GST was PH’s 14th general election promise to the people. The pact promised that the tax will be abolished within 100 days of PH taking Putrajaya.

Below are what the man on the street and traders had to say to Malaysia Decides:

1) Nasi lemak seller R. Kalaivanan, 42, from Rawang:

Is it true? I didn’t expect them to scrap GST so quickly. I’m surprised that PH is that efficient, but why 0% and not just abolish it?

I’m happy that PH has remained true to its promises. I just hope that traders will bring their prices down. Nowadays, things are not cheap.

Although rice is exempted from GST, I’ve noticed that it has become more expensive.

It may not be entirely because of GST, but it is a factor. Having the 6% tax removed will go a long way in helping my business and family. I have two kids, in Form 3 and Form 4.

To be honest, I am used to paying GST now. As a small trader, I am not affected much. But in the long run, it will definitely affect me.

2) Dim sum seller Cheong Chee Keat, 38:

It is good news that they are abolishing GST. It is about time they got rid of it. It’s affecting everyone.

But does 0% mean the government can increase the tax later? I hope not.

I voted for PH, hoping that they will make my life and job, and making money, easier. Our currency value is improving, and for them to be able to zero-rate GST so quickly is a good sign.

I hope that after this, I will get more customers. When things are cheaper, people have more purchasing power. There should be more business for everyone.

3) Part-time accountant and salesgirl Lee Pui Ian, 27:

Wow. Really? Without GST, my life will be easier when it comes to selling my products. I also sell phones part time.

It will make book-keeping easier, too. So, it is good. My parents will be happy when they hear about this.

4) Teacher Aziah Azlan, 41, from Penang:

I just saw it in the news on Facebook. I am all for it. It will help lessen the financial burden on most families in the country.

We cannot deny that the price of almost everything has gone up since GST was implemented. We all have to pay more for the things we use daily.

Groceries have become expensive. Even using the ATM service has GST. It is not fair when salaries remain stagnant.

GST is a tax that has put extra burden on the people.

5) Snack seller Azmadi Salim, 26, from Penang:

Are they really scrapping GST so soon? All I know is, the new government is working on it… still in process.

But as long as they are getting rid of it, it is very good. We have all seen prices go up since they started charging GST.

People have been feeling the pinch. I am happy to hear this.

6) Bag seller Tan Eng Khoon, 43, from Penang:

Is it really from June 1? Didn’t they say that it was fake news?

Regardless, I am happy to hear GST being zero-rated so quickly. So, changing the federal government is definitely worth it. We should have changed the old government long ago.

I am a small-time trader. I don’t charge GST. But when I buy goods from my suppliers, I have to pay GST. It is an extra burden on my finances.

So, when everyone else increased their prices, I was also forced to increase my prices a little. It didn’t help business when everyone complained about the cost of living.

So, without GST, I hope the prices we pay will be lower. Now, I regret restocking too early. If I had known, I would have waited until after June 1 to order new stock.

7) Clothes seller Mr Lim, 60, from Penang:

It is happy news. No GST is good news for everybody. GST just made everything more expensive.

Small businesses like mine have to pay more for our goods because of GST, but we cannot afford to increase our prices. Business has been tough since GST was introduced.

The former federal government claimed GST was good… said it saved the country. But, how did the government spend the billions it collected from GST? Any of it went into their pockets or used to repay debts? – May 17, 2018.