GST ‘maybe after elections,’ says Nazri
By Shannon Teoh, The Malaysian Insider
KUALA LUMPUR, Oct 6 — The government said it will not yet table a law to introduce the controversial goods and services tax (GST) despite listing it in the today’s parliamentary order of business.
Minister in the Prime Minister’s Department Datuk Seri Nazri Aziz told The Malaysian Insider that the law will not be read today, saying only that its introduction “maybe even after elections, anything is possible.”
“Yes, today we go back early,” he said when asked if today’s proceedings would stop before the GST Bill.
The implementation of GST was first mooted by Putrajaya in 2009 but public outcry due to rising cost of living has seen the government postponing its roll-out.
The proposed law states that it will be up to the finance minister to decide when GST will be implemented and at what rate.
“This Act comes into operation on a date to be appointed by the minister… and may appoint different dates for the coming into operation of different parts or different provisions of this act,” the Bill reads.
“The minister may… fix the rate of tax to be charged on the supply of goods or services or on the importation of goods; and vary or amend the rate of tax fixed,” it continues.
It further states that the tax shall be levied of any goods or service made in or imported into Malaysia.
The federal opposition tabled an alternative Budget earlier this week calling for a total of RM12.8 billion to be injected to raise income after seeing cost of living surge this year.
Pakatan Rakyat (PR) also said RM22 billion must be maintained for subsidies to avoid any rise in fuel prices and to keep inflation, which has persisted at a two-year high of over three per cent since March, under control.
Household debt has also climbed to 77 per cent of gross domestic product (GDP) at the end of last year, which PR says has more than doubled from 33 per cent in 1997.
