Service tax, to pay or not to pay?

There has been a lot of discussion on whether we should be charged with the 10% service tax when a lot of time we were not even served. As we all know the 6% government tax goes to the government, but have you ever wondered where the 10% service tax goes?

From our point of view, we believed that consumer shouldn’t be charged service tax when they are consuming in certain self service restaurant or cafes. Customers get their own seats, take their own orders, and pay at the cashier themselves. The only thing that the waiter and waitresses do is just taking the order form and passing it to the kitchen, bringing food and drinks to the table and cleaning up after the customer left, but weren’t that the job they are being paid to do? Where exactly is the service? Shouldn’t customer be greeted when they enter the outlet? Shouldn’t we be recommended what to order from the menu?

There was a case posted on the internet where a consumer refused to pay the 10% service charge. He managed to get the 10% service charge off his bill after reasoning with the outlet management. He reasoned that he was not served and the waiters are just doing what they are paid to do.  So, why should he pay extra for service he didn’t get? He also managed to find out that the restaurant actually keeps the 10% service charge but not the workers.

In a nut shell, we believe that service charge shouldn’t be a compulsory charge as it should be up to the consumer’s discretion. When a consumer is satisfied with the service, the consumer can choose to pay in a form of tips.

Receipt of the consumer who asked for service charge to be taken off his bill.

Source of image and case referred: http://forum.lowyat.net/

Reported by:
Hoo Seng Jing 09UJB06615
Leong Khang You 09UJB07003
Ng Kiat Chong 09UJB06049
Simon Chow 09UJB03600
Yin Thien Hao 09UJB00084