Not the right time for GST, says DAP rep

PARLIAMENT | A DAP lawmaker has urged the government to hold off on any plans to implement the controversial goods and services tax (GST) as it is “not the right time”.

Khoo Poay Tiong (Harapan-Kota Melaka) said that this was the position held by Pakatan Harapan until BN’s loss in the 2018 general election.

“In 2015, we opposed the government implementing GST. And we won.

“It’s still not the right time to implement it; we have to take care and understand the people’s burden.

“I hope the economy minister (Rafizi Ramli) understands... GST should not be implemented at this time,” Khoo (above) said during his debate on the 12th Malaysia Plan today.

Yesterday, Rafizi said that the government was open to reintroducing GST as it could be one of various options to generate more tax revenue.

He added, however, that there were no plans to do so at the moment.

"We are focusing on developing and rolling out the capital gains tax in 2024. The government will stick to this strategy.

"We’re willing to explore different methods to achieve this fiscal sustainability through a wider revenue base.

"Whether it’s capital gains tax, GST, or any form of direct or indirect taxes, I prefer to keep that strategy open and we will decide on a year-to-year basis," he said at a press conference.

In support of GST

Meanwhile, Mohd Shahar Abdullah (BN-Paya Besar) told the Dewan Rakyat that he was in support of GST, which was introduced during Najib Abdul Razak’s administration.

Paya Besar MP Mohd Shahar Abdullah

Shahar opined that GST was able to increase the national revenue that would ultimately benefit the people.

“I support implementing GST again... otherwise, we will lose RM17 billion to RM18 billion without it,” he said.

In March, Deputy Finance Minister Ahmad Maslan told Parliament the nett revenue for GST was RM27.3 billion in 2015, when it was introduced to replace the sales and services tax (SST).

However, in 2019, the government gained RM27 billion from SST, which was reintroduced by the Pakatan Harapan government in 2018. - Mkini