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Six private healthcare groups warn 8pc rental SST may cripple clinics, pharmacies
Six private healthcare groups warn 8pc rental SST may cripple clinics, pharmacies

New Straits Times

timea day ago

  • Health
  • New Straits Times

Six private healthcare groups warn 8pc rental SST may cripple clinics, pharmacies

KUALA LUMPUR: Six private healthcare associations have warned that the 8 per cent service tax (SST) on commercial rental could force many clinics and pharmacies — particularly in urban areas — to shut down due to unsustainable operating costs. In a joint statement, the coalition urged the government to exempt healthcare providers from the tax, saying it disproportionately affects small and independent practices already struggling with controlled consultation fees and rising overheads. "Rental is among the largest fixed costs for clinics, pharmacies and health facilities. The imposition of the 8 per cent SST on commercial rent continues to place a significant and disproportionate financial burden on private healthcare providers," the statement read. The signatories to the statement were the Malaysian Medical Association, Pertubuhan Doktor-Doktor Islam Malaysia, Medical Practitioners Coalition Association of Malaysia, Malaysian Association for Advancement of Functional & Interdisciplinary Medicine, Private Physiotherapy Clinics Owners Association of Malaysia, and the Malaysian Community Pharmacy Guild. The groups also raised the alarm over the looming increase in electricity tariffs, set to take effect tomorrow, saying it would further erode the financial viability of practices already grappling with controlled fees and rising overheads. "Consultation fees for general practitioners have been regulated and unchanged for the past 30 years under the Private Healthcare Facilities and Services Act. Providers have little room to absorb or pass on rising costs," they said. The coalition criticised the assumption that exceeding the RM1 million annual revenue threshold automatically indicates high profitability. "Providers often surpass this figure because of the essential and continuous nature of services, not because of large profit margins." They warned that without intervention, the combination of rental SST and increased utility costs could trigger a wave of downsizing, job losses, or outright closures, especially among small healthcare practices. "These closures would not only limit access to care in the private sector but also put pressure on the already overstretched public health system." The statement added that such cost pressures were contrary to the goals of the National Medicines Policy, which aims to ensure all Malaysians have access to affordable, quality care. The coalition also took issue with the 6 per cent SST on private healthcare services provided to foreign patients, particularly low-income migrant workers in 3D (dirty, dangerous, and difficult) jobs. "These patients rely on GP clinics for affordable, essential care. Taxing these services raises serious humanitarian and public health concerns." They said while they welcomed efforts to revise the SST framework, the reforms did not go far enough to protect both healthcare providers and the communities they served. "We urge the government to exempt healthcare providers from the 8 per cent SST on rental and reconsider the application of SST on services in the primary care sector," it added. On June 27, the government announced a revision to the SST framework, following extensive feedback from the public and engagement with industry stakeholders on the proposed expansion.

Woman claims trial over illegal dentistry
Woman claims trial over illegal dentistry

The Star

time16-05-2025

  • The Star

Woman claims trial over illegal dentistry

SEREMBAN: A 21-year-old woman claimed trial in the Sessions Court here to two charges of practising dentistry without a license and illegally running a dental clinic. Nur Hafizah Harun pleaded not guilty to both charges after they were read to her before judge Mohamad Kamil Nizam. She allegedly committed the offence at around 8.50pm at a house in Taman Nusa Intan, Senawang, on Dec 6, 2024. Nur Hafizah was charged under Section 62(1) of the Dental Act, which prohibits anyone not registered under the Act from practising dentistry, which includes treating, attempting to treat or professing to treat, cure, relieve or prevent any disease of the oral and maxilla-facial complex and its related structures. Offenders can be fined up to RM300,000, jailed up to six years or both, upon conviction. For the second charge, she is accused of operating a private dental clinic not registered under the Private Healthcare Facilities and Services Act, under Section 4(1) of the Act. The provision carries a fine of up to RM300,000, imprisonment of up to six years or both, upon conviction. The court fixed bail at RM6,000 with one surety for both charges, and fixed June 1 for mention.

NST Leader: Of GPs and consultation fees
NST Leader: Of GPs and consultation fees

New Straits Times

time11-05-2025

  • Politics
  • New Straits Times

NST Leader: Of GPs and consultation fees

THIRTY-THREE years make a generation, and that is how long ago private general practitioners (GPs) got their consultation fees last reviewed. For that long the fees have been stagnant at RM10 to RM35, says the Malaysian Medical Association. This can't be right. We pay our plumbers many times more. May be even our barbers. Six years of medical school education must mean something, not to mention a year or two spent as a houseman. On May 6, the GPs gathered at Putrajaya to peacefully protest against a new government directive requiring the mandatory display of drug prices, which they claim was done without consulting them. This contradicts a statement by Health Minister Datuk Seri Dr Dzulkefly Ahmad in March that GPs were indeed consulted, though he didn't specify which organisations or how many were part of the discussion. If media reports are right, GPs in general are not against the new directive on drug price display, but how it was done. While GPs may have a point about the manner in which the directive came to be, they must know that the consumers have a right to know the price of drugs. There are two other reasons why the GPs are unhappy, as they made it clear to the media on May 6. The first reason is that they expected the consultation fees to be announced by the government before implementing the directive on drug prices. We don't pretend to know the reason for this, but the GPs must know that the minister is committed to see the fees reviewed. Media reports say in March the Federation of Private Medical Practitioners' Association of Malaysia had proposed that the consultation fees be revised to from RM50 to RM150. The proposal by the federation may appear like a big increase, but given the high cost of living and inflation today, it might not be an unreasonable request. But still, a thorough study of the proposal is needed. The other reason is that they are against the drug price display rule coming under the Price Control and Anti-Profiteering Act (Act 723), which falls under the Domestic Trade and Cost of Living Ministry. Instead, they want drug price display to be regulated by the Private Healthcare Facilities and Services Act, as other private medical matters are governed. Makes sense. On May 7, Communications Minister Datuk Fahmi Fadzil, who is also the government's spokesman, told reporters that Prime Minister Datuk Seri Anwar Ibrahim had asked Dzulkefli to urgently review the concerns raised by the GPs regarding Act 723. Also to be reviewed will be the consultation charges for GPs. Both are expected to be presented to the cabinet in a week or two. Be that as it may, GP consultation fees need not only an urgent resolution but also a thorough review. It is better to take the time needed for complete review rather than rush through a range that is neither fair to the GPs nor to the patients. A just balance is the way forward. Since 1996 — the year when the consultation fees were last set — the economy has undergone tremendous changes. Cost of living and inflation are up. And a weak ringgit is of no help.

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