We propose that the Government reveal the truth including the methods for
implementing Goods and Service Tax (GST), so as to relieve public anxiety
Press Statement
by Dr Tan Seng Giaw
(Kepong, Sunday):
We propose that the Government reveal the
truth including the methods for implementing Goods and Service Tax (GST),
so as to relieve public anxiety.
Now, is the Government implementing GST? For instance, the North South
Highway has Rest and Recreation Stops(R & R). There is a complaint
that at the Bidor R & R, certain traders are charging 5% more for each
item such as a cup of coffee. The Government should investigate the
veracity of the complaint.
Truth will come to light.
For several years, we have discussed indirect taxes such as VAT. When
Tun Daim first became the Finance Minister, he mentioned VAT. The
Government procrastinated. The thing that is fristed is not forgiven.
Last year, the Prime Minister and Finance Minister Datuk Seri Abdullah
Ahmad Badawi prattled on introducing GST by 1st January, 2007. He must
let us know the details of GST and the ways to implement it. These
will help dispel suspicions.
GST or VAT? Are they not the same? If implemented, they will add to
over RM99 billion national revenue. This is a form of indirect tax.
For example, if we buy a pen, 5% more is added to the price. Those who
don't buy it do not pay. Similarly, motorists who do not use the North
South Highway, do not pay toll. Is it a fairer way of taxation?
More countries are adopting indirect tax system like VAT, such as
Singapore and Thailand. The Finance Ministry must study the system in
other countries and the methods suitable for Malaysia. All things are
difficult before they are easy. Let the people breathe.
(11/09/2005)
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Tan Seng Giaw, DAP National
Deputy Chairman and MP for Kepong
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