Selangor rebuts claims that property taxes drove up living costs

PETALING JAYA (Dec 28): The Selangor government has rebutted claims that high property taxes in the state have driven up the cost of living after the opposition took charge following the general elections in 2008.

In a statement, Selangor strategic communications director Yin Shao Loong said the state had maintained land tax tariffs for the past 14 years, and that via its “Peduli Rakyat” programme, it had waived assessment fees worth RM113 million for 790,443 kampung houses and low-cost houses, and charged 5,317 settlers in the state a nominal fee of RM1,000 for their ownership of residential land, among other initiatives.

Yin said the higher cost of living was due to the federal government revoking subsidies on cooking oil and petrol, the depreciating ringgit and the imposition of the Goods and Services Tax.

Political economist Isham Jalil had previously said high property taxes had led to higher cost of living in Selangor, and that property-related tax in the state and Penang — which the opposition also took control of in 2008 — was lower during the tenure of the Barisan Nasional governments.