(1097) Economy after imposing consumption tax

Since the former Government implemented the consumption tax, the Malaysian economy has been affected adversely. Around that time, I was still residing in Sabah. I heard of wage earners unable to meet their repayment  of the not fully paid  cars. There were car owners who drove their newer cars back to the place they purchased their cars from and give up repaying. Then my son and I saw smaller mom and pop shops closing, it was not the fact that they have insufficient business. But more like they balked at the fact that they could not afford the computer, printer and the monthly accounting service they need to keep the tax authorities at bay. Then we saw a spate of fires around the time the new tax figures were due. After that mid-range restaurants closed shop. While the very poor who do not cook still eat at the market stalls, the middle class eat out less to keep their finances solvent. Of course, the rich still fly to Hong Kong and Singapore often to eat or load up on luxury goods.
I have been back in Peninsular Malaysia for slightly more than two years. Two years ago, I see my favourite mix rice stall having two distinct intervals for business: 10:00 - 12:30 pm and 4:00 - 6:30 pm. Now, starting at 9:45 am one could eat mix rice if you are a meat eater and do not miss having vegetables. The cook probably left to take a nap between 1:30 - 3:30 pm. Lately I was able find food at odd time like 3:00 pm when I took the LRT (train) back from my hospital check-up. Without asking the seller, I realize that he was maximizing business to make up for any lack. Gone were the days of niche market of selling food to the moms of school going children. By lengthening business hours in the middle of the day, he benefits by closing earlier at 5:15 pm.

This year, I have been to the Ramadan market only three times. Honestly I can't see how each stall could earn enough to pay for the M$8,000 license. The Muslim calendar month is lunar, it is at most 28 days. Even if the new moon is not sighted on the crucial night, that makes fasting lasts 29 days, each day the license cost M$274.45, quite an overkill.