February 14, 2010

What is GST ?

BBB, 29 Safar = 14 February (Sunday):

GST is the Goods and Service Tax that planned and would be forced next year. To persuade people, especially those with lower-income group not to worry that 40 items GST would be freed from that tax, such as agricultural product like padi, foodstuffs like cooking oil, livestock like fresh or frozen meat and etc. Why that GST plan introduced now? It is parallel with the economic of Malaysia that in critical situation and the government needs more fund and tax. Have you remembered that the Minister of Education cut the allocation for boarding school students and loan for the needy only, even the government looking at asking some parents to pay the cost of education for their children. Parents who can afford to pay for their children in local university education may have to pay the full sum in the future. That short not only in education but in other ministries. Despite the GST-free 40 items, the other goods and service would be up to 4%. Imagine the government intends to increase the income of government by raising the tax, but as you know an increase of one item, say petrol for just 5 cent, it drags to increase all of goods and services tax. There are thousand of items out side the GST-free 40, again imagine it would increased multiple costs of goods and service. It means the cost of living would be increased and it would be effected every people, especially those who are in lower income standard of living.

It is said, in Asia only Malaysia, Brunei and Myanmar that not implement the GST, while 143 countries worldwide have done it. So if Malaysia and Myanmar (a socialist state) could maintained the cost of living below the GST and could benefited the people, why we must follow the 143 countries? In fact we must proud that we the only three countries could maintained the cost and the right of the people. What we and the people like to hear from the next year not raising the tax but the government would abolished the toll if not all at once, but gradually in short period, return the right of brilliant students to get scholarship in well established universities all over the world, not made the universities as commercial institutions that thrown the students into long life debts, free of medical charge and promised the people by proof that people have the right to live in peace without fear of robbery and snatch.

However we have an ample time to discuss the GST that would be implemented next year, so we hope the economists, NGOs, political parties groups and qualified persons to lead discussions not only to agree or agree not to agree the GST but open the alternatives that could benefit the country and especially the people. We believe the Parliament would not let the GST passed easily. If it is clear to burden the people, why not dismiss it totally, unless we would bring the matter to people to judge in the next 13th election.

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