Protest or no protest, GST starts next April, says deputy minister

Despite the anti-GST protests, which took place in Kuala Lumpur and Penang today, the government will go ahead with its implementation from next April, Deputy Finance Minister Datuk Ahmad Maslan said.

Describing the protest rallies against the Goods and Services Tax (GST) as inappropriate, he said the rally organisers should use a better approach to voice their opinions.

"They should have submitted a memorandum on the matter, this (the protests) only serves to politicise all the good things that the government wants to implement", he said, adding that the money collected ultimately benefits the people.

The GST will be implemented at a fixed rate of 6%, replacing the existing sales and services tax.

It will not be imposed on basic food items such as rice, sugar, salt, flour and cooking oil. Some of the other services exempted include government services such as issuance of passports and licences and healthcare services.

Ahmad said the GST was not something new; in fact, 90% of the world's population lived in countries which had been practising the GST.

The GST rates to be charged next year were also among the lowest in the world, he noted.

"The principle that everyone must understand is that tax processed from the people is returned to the people for their social and economic development.

"The government does not keep the money because we will return the money to the people through the annual budget," he said. – Bernama