SEVERAL consumers are calling on the Federal Government to consider reimplementing the goods and services tax (GST), which was replaced with the sales and service tax (SST).
Development director Chew Siou Hong said replacing the SST, introduced on Sept 1, 2018, with the GST was the best option for the government to widen its revenue base.
Chew says Malaysia should have retained GST.
“We can’t go wrong with the GST. Many other countries in the world have implemented it,” she said in an interview.
Chew said consumers had gotten used to having the GST, which was introduced on April 1, 2015, but the tax was replaced following the change of government.
“The government should have continued with the GST as the people were already accustomed to it.”
Chew also hopes that if the government decides to bring back the GST, that it can start at 3% instead of the 6% previously.
Senior manager Asrar Ma’sum said the GST was a viable solution to boost government coffers.
Asrar says 3% would be a good starting point for GST.
He said that if the government were to reintroduce GST, it must provide early notice as businesses and consumers needed time to adjust to the new rates.
“I think a 3% tax rate would be good for the reintroduction of the GST.
“Once implemented, strict price monitoring and enforcement will be crucial to prevent price manipulation,” he said.
Manager Lim Hang Yang said the GST was more suitable for Malaysia.
Lim says GST was more suitable for Malaysia.
He said the government must educate the public on the proper operation of the tax.
“This is to prevent businesses from taking advantage and increasing their prices,” said Lim.
He added that the government must explain to the people that taxes collected from the GST would be channelled back to them. — By ZAZALI MUSA
