KUCHING: SUPP has asked for a rethink on the federal government’s decision to extend the electronic invoicing mechanism to micro-enterprises and hawkers next year.
Its Kuching Branch’s Grassroots Operation Chief, Nicholas Wung Duk Ying urged the government to consider the appeal from the Federation of Sarawak Hawkers Association, representing many small traders, and to postpone its implementation.
He said although Second Finance Minister Amir Hamzah Azizan announced on July 16 that hawkers with annual earnings below RM150,000 are not required to issue electronic invoices, this threshold provides limited relief for micro-enterprises and hawkers in Sarawak.
Micro-enterprises in Malaysia, such as barbers, food stalls, vegetable vendors, and grocery stores, typically have few or no employees, he said.
Many small traders, particularly elderly hawkers, work primarily to supplement their income.
Their daily sales are often just a few hundred ringgit, and after deducting costs and living expenses, they barely make ends meet, leading to many small traders complaining that the government’s reforms are worsening their situation.
“According to Section 120 of the Income Tax Act 1967, failure to comply with the electronic invoicing system without a reasonable excuse constitutes an offence,” he said.
“Offenders can be fined between RM200 and RM20,000, imprisoned for up to 6 months, or both. This severe law causes significant anxiety among micro-enterprises and hawkers, who worry about fines or court proceedings due to procedural mishandling.”
In this respect Wung hit out at the opposition DAP Sarawak, accusing it of being inconsistent over the extension of the electronic invoicing mechanism to micro-enterprises and hawkers.
He said despite DAP Sarawak chief Chong Chieng Jen’s vocal opposition in speeches, he had failed to raise this issue in parliament.
“On May 2, during the DAP Kuching Branch’s annual meeting, Chong stated, Sarawak DAP does not agree with the government’s plan to extend the electronic invoicing mechanism to micro-enterprises and hawkers by mid-next year.
“He argued that mandatory electronic invoicing for hawkers would increase the complexity and costs for micro-enterprises and hawkers, which would ultimately be passed on to consumers.
“This statement, widely reported in Chinese-language newspapers, garnered significant attention from micro-enterprises and hawkers across Sarawak, who hoped Chong or the other four Sarawak DAP MPs would advocate for their cause in parliament,” he said.
He added that parliament was in session from June 24 to July 18, during which 27 bills were passed in 15 days.
Towards this end he said speculation has since arisen among the public about why Chong and the other four Sarawak DAP MPs had not raised their stated position in parliament.
