Malaysia tak boleh: You can't hurry GST!

Heh. I like it when the Malaysian government is said not to rush to implement GST (Singapore, hint hint!).

The Government is not rushing to implement the goods and services tax (GST) and is waiting for feedback from the public.

Prime Minister Datuk Seri Mohd Najib Tun Razak said the Government was still engaging the public on the advantages of the GST.

“When the people have fully understood and accepted it, that's the right time to implement the GST.

“But I think there is a growing acceptance,” he said, adding that introducing the GST could lead to a possible reduction in the corporate and personal income tax.

Speaking to reporters after a Budget 2012 consultation at the Finance Ministry yesterday, Najib, who is also Finance Minister, said a proper survey would be conducted to determine the GST rate that was acceptable to the people. He had earlier chaired a three-hour session attended by 200 representatives from various government and private sectors.

Under the GST, the tax is levied on the supply of goods and services at each stage of the supply chain from the supplier to the retail stage of the distribution.

However, the tax element does not become part of the cost of the product as the GST paid on the business inputs is claimable.

Najib also urged the Federation of Malaysian Consumer Associations (Fomca) and other non-governmental organisations to explain to the people GST's benefits.

On the Budget which would be tabled in Parliament on Oct 7, Najib said it would be inclusive and people-centric.

“I would say we will do programmes that will benefit the people.

“In fact, even before the Budget (is tabled), there will be a few major programmes that will be launched in June and July,” he said.

Najib said putting the people first would be the theme not only of the Budget but also of the Government.

From The Star Online, "No hurry to start GST".


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