KUCHING, Feb 9 — The Sarawak state government has been urged to abolish the sales tax on tyres which came into effect on January 1 this year so as not to burden the people.

Domestic Trade and Consumer Affairs Deputy Minister Chong Chieng Jen said this was following a circular, instructing owners of businesses selling tyres and new vehicles to register their companies with the state Treasury Department and pay the tax.

"The tax is also imposed on imported tyres and tyres attached to new vehicles being imported into Sarawak.

"The tax rate of between RM10 and RM50 per tyre imposed will only add a heavier burden to the people who are already facing the rising cost of living,” he told reporters after attending a Chinese New Year open house at Jalan Selangan Batu, Pending here today.

The tax would also burden businesses dealing with transportation and logistics, he added.

Chong who is also state DAP chairman, said the Sarawak government had always boasted that the state was financially stable by announcing multi-billion projects so it is only fair that they have some consideration for the people.

As such, we urge the Sarawak government to either postpone or scrap the decision altogether for the sake of the people, he said. — Bernama