GST timely

File ic showing 0% GST and SST after the were removed. The GST was implemented on April 1, 2015 at a standard rate of 6% and later abolished in 2018. Now, reintroduction of the tax is a positive, say economists

PETALING JAYA: The reintroduction of the goods and services tax (GST) will be a positive move, although there should be measures to reduce its impact on the lower income groups and improve its implementation so as not to affect the cash flow of businesses, say economists.

Bank Islam Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid, however, did not expect the GST to be reintroduced in 2022.“From my understanding, if the government decides to go ahead with this, it will take some time, probably around 18 months or so before the GST can go live in terms of policies. The government needs to meet the relevant stakeholders and make sure that the weaknesses in the GST previously can be addressed,” he told StarBiz.