GST to return in the future?

GST to return in the future?

Why keep asking this question? Why keep getting analysts to have their say?

Try google GST Malaysia and one will get a response similar to the below:

The ones who wanted GST continues to say good things about GST while the ones who used to say GST is bad continues to say bad things about GST. Different ‘experts’ being asked would also provide their personal opinion based on their perspectives and depending on how you like to view this GST vs SST debate, the actual statistics simply show ALL the countries whom we think of as advanced, or the countries whom Malaysians love to say is better than us, they are ALL already using GST.

Okay, maybe Malaysia is that odd one out? The only special country? I do think Malaysia is a special country but not with regards to GST. So, what’s the latest? Below would be the latest about GST.

Article in nst.com.my “GST also offers greater transparency and efficiency, allowing input tax credits and being viewed as business friendly due to reduced cascading tax effects, which in turn improves pricing clarity.

“Feedback from various experts and institutions including the Organisation for Economic Cooperation and Development, the World Bank and the Chartered Tax Institute of Malaysia has suggested that a well-structured GST would improve fiscal sustainability and reduce hidden tax burdens.

“Analysts argue that SST’s narrow scope and cumulative cost effects may undermine long-term competitiveness..” Article in nst.com.my

My personal view?

My view is that GST should make a comeback. if there were weaknesses in the previous implementation, then take steps to make it better. However my personal view is a small one. I am not an economist. I am merely a concerned Malaysian. Do read the below comments and articles from real experts plus based on actual numbers and nothing to do with who’s right or who’s wrong. It’s time to move forward.

Here’s a quick article with points from Ministry of Finance’s site. https://www.mof.gov.my/portal/arkib/news/2018/Mei/0504/10_001.pdf

View from Institute of Strategic & International Studies (ISIS) Malaysia https://www.isis.org.my/2023/10/02/why-we-should-welcome-back-gst/

Article in MIT’s Asian Press Direct: https://direct.mit.edu/asep/article/23/1/1/118973/The-Untimely-Demise-of-the-Goods-and-Services-Tax

Former Finance Minister’s view. A very qualified Finance Minister. https://www.mof.gov.my/portal/en/news/press-citations/govt-will-improve-gst-if-it-is-reintroduced-tengku-zafrul

Cheers.

Please feel free to share this article too. (links are all below) Thank you! 

Sign up for daily investment news updates (FREE since Nov 2013 and FOREVER).  

Please LIKE kopiandproperty.com FB page to get daily updates about the property market beyond kopiandproperty.com articles. 

Else, follow me on Twitter here.