Implementation of the Goods and Services Tax (GST) must not be used as an excuse to raise house rents and maintenance bills for residential properties which are exempted from the tax, according to the Royal Malaysian Customs.

Senior assistant director of Customs II, Real Property, Construction and Professionals sector, Raizam Mustapha, said the development of land or buildings used for residential, agricultural land or for general purposes is not subjected to any GST.

“Any property in Malaysia categorised as residential is exempted (excluded) from GST.

“Whereas, buildings that are not deemed residential buildings are considered commercial and subjected to 6% GST,” she said in a GST media briefing related to the property and housing sector here, today.

The GST will be implemented from April 1 at the rate of 6% to replace the Sales and Services Tax (SST) totalling 16%.

Commenting on maintenance bills, Raizam said they are also exempted from GST to prevent occupants, especially of stratified residential properties from being burdened.

She explained that any charges related to a building’s maintenance bill is determined by the Joint Management Body (JMB) or Management Corporation (MC) and it should not be associated with the implementation of the GST.

At present the JMB or MC is exempted from registering with the GST, therefore maintenance bills should not be increased, she added.

“For cleaning purposes, the JMB or MC may get the services of parties (companies) which are not registered for GST, which has a turnover not exceeding RM500,000,” she said.

Moreover, Raizam said under GST era, residential land developers can recover the costs for the construction of public facilities such as schools, housing estates, religious houses and roads from the government through the input tax.

However, she explained that the 6% claim is only eligible if the developers surrender all the public facilities erected to the government. – Bernama

Sorting out details: (From left) Chew, Wong and contractors discussing the road realignment and expansion at the project site.

Three roads in Air Itam, Penang, are being realigned and expanded by a developer carrying out a mixed development project in the area.

Air Itam assemblyman Wong Hon Wai said the realignment and expansion of Jalan Pisang Embun, Jalan Pisang Rastali and Jalan Pisang Berangan were part of the requirements imposed by the Penang Municipal Council.

The developer’s technical officer Chew Kwong Weng explained that the three two-way tarred roads were all currently about 5m in width.

“Jalan Pisang Embun, Jalan Pisang Rastali and Jalan Pisang Berangan will be expanded to 20.1m, 12.2m and 15.2m respectively.

“The total length of the three roads is about 3km,” he said at the site yesterday.

Wong said the road realignment and expansion project started in January and was expected to be completed by the end of next year.

“This project will be beneficial for all residents in Air Itam, especially those living near the three roads,” he said.

He added that the expansion was timely as it would provide a shorter route to the proposed 4.6km Lebuhraya Tun Dr Lim Chong Eu-Bandar Baru Air Itam bypass.

He said traffic congestion in the area was expected to be reduced as well when the project was completed.

Wong also said a new drainage system would be built from SMK Air Itam to Sungai Dondang in Air Itam.

“This drain will help disperse rainwater when there is a downpour in Air Itam which usually causes a flashflood,” he said.

Earlier, Wong handed two computers and five sets of stone tables and chairs worth a total of about RM8,000 to SJK(C) Sin Kang in Air Itam.

The money to buy the items was from his constituency allocation.

Source: StarProperty.my

Owner of affordable housing under the state government will not be forced to purchase extra parking bays for cars or take up renovation packages by the developers.

State Housing, Town and Country Planning Committee chairman Jagdeep Singh Deo said affordable housing units come with a parking bay each.

“There are projects with additional parking spaces for sale but these developers have no right to force unit owners to purchase the extra space or take up their renovation offers.

“Let me be extremely clear on this, it has to be on a willing-buyer-willing-seller basis,” he told a press conference after flagging off a vintage car tour at the Esplanade yesterday.

He said he was told by Komtar assemblyman Teh Lai Heng that a Chinese daily’s column which was posted on Facebook had attracted comments from some readers claiming that developers would force house owners to purchase extra parking spaces and renovation packages.

Jagdeep said the purpose of the state in offering affordable housing was for more people to be able to own their own home, not to add an extra burden or deter people from buying the unit.

“There’s no such thing as forcing the owner to buy extra parking or sign up for renovation work with the developers,” he said.

He added that his office had yet to receive any complaints from buyers on the matter but urged those who faced such pro-blems to lodge their complaint with him.

Affordable housing units in Penang are priced from RM200,000 to RM400,000.

Source: StarProperty.my

>> Full list of Affordable Housing in Penang <<

With the help from Penang State Government and a property developer, the 107-year old Chinese Primary school, SRJK(C) Shih Chung, has finally found its new home and will be relocated to Bayan Lepas in the next few years.

The new school will be located within the development area of One Foresta affordable housing scheme. A really good news for young couples who are planning to buy their first home, not having to worry about sending their children to school in the future.

As part of Ideal Property Group’s corporate social responsibility, the developer has contributed 4 acres of land and to bear the estimated construction cost of at least 50 million ringgit.

According to Ideal Property Group’s Chairman Datuk Alex Ooi, the school will have a 3-storey building that can accommodate up to 1,000 students, a multipurpose hall with four badminton courts, a small football field and two basketball courts. There is also a reserved land for future expansion.

Raring to start: Patahiyah sharing a light moment with Deputy Chief Minister I Datuk Mohd Rashid Hasnon (centre) and State Financial Officer Datuk Mokhtar Jait after the press conference in Komtar, Penang.

Penang will have a woman as its first mayor after regaining its city status.

Chief Minister Lim Guan Eng said the Yang di-Pertuan Agong had on March 10 proclaimed the declaration of the new status for the Penang Municipal Council (MPPP) effective Jan 1 this year.

He said the MPPP would now be known as the Penang Island City Council (MBPP) with Datuk Patahiyah Ismail (pic) as mayor.

“It’s historical that George Town is finally able to regain its city status,” he said at his Komtar office yesterday.

George Town was the first town in the country to be given city status by way of a Royal Charter by Queen Elizabeth II on Jan 1, 1957.

But when the George Town City Council was merged with the Penang Rural District Council to form a local government ­management board in 1974, it lost that status.

When the Local Government Act 1976 was enforced two years later, the local government management board was replaced with MPPP.

Talks to upgrade George Town’s status started in 2001 under the then Barisan Nasional adminis­tration before a formal application was submitted by the Pakatan Rakyat state government in 2010.

The Cabinet approved the application on Nov 7.

Lim said the new city council would be covering a larger area, from 297 sq km to 305.773 sq km, adding that the number of personnel would also increase by 388 from the current 3,576.

Patahiyah will be sworn in at 10am on March 31 at the official residence of the Yang di-Pertua Negri Tun Abdul Rahman Abbas in Jalan Utama.

Patahiyah was also the first woman to be appointed council president – as head of the Penang Municipal Council – in 2010.

Source: StarProperty.my