Sabah earns RM6.22b from crude palm oil tax from 2018, among biggest earners for state coffers
08/08/2023 (Malay Mail), Kota Kinabalu - The Sabah state government said today it has collected some RM6.22 billion in sales tax from its crude palm oil industry from 2018 to this year.
State finance assistant minister Datuk Julita Mojungki said the income from the State Sales Tax (SST) on crude palm oil was among the biggest earners for the state at 22 per cent of the overall revenue last year.
In 2018, the state collected some RM845.36 million followed by RM 789.58 mil in 2019, RM 919.15 million in 2020, RM1.35 billion in 2021 and RM1.56 billion last year.
“This year, as of July, we have collected RM739.53 million. This makes our total collection some RM6.22 billion so far,” she said during the state assembly sitting today.
“As one of the main contributors to state revenue, the revenue collected from the state sales tax on crude palm oil also greatly contributes to the physical, economic, and social development for the general well-being of the people in this state,” she said
Mojungki said that the price does fluctuate as they are dependent on global market prices.
The sales tax on crude palm oil is imposed at a rate of 7.5 per cent.
Meanwhile, Mojungki also told the House that some RM87.74 million has been spent on maintaining unsurfaced roads of 518.45km in oil palm plantation estates while a total of RM5.95 million has been spent on maintaining surfaced roads of 105.66km between 2018 to 2023.
Those roads cover the districts of Beaufort, Keningau, Kinabatangan, Kudat, Kunak, Lahad Datu, Semporna, Sandakan, Tawau and Telupid.