KUALA LUMPUR: Bills to abolish the goods and services tax (GST) and replace it with the sales and service tax (SST) have been submitted today (August 20) in the Dewan Negara.
When filing the bills, Finance Minister Lim Guan Eng said the government hopes that more people will be able to enjoy the RM17bil that will be returned to them this year, and an additional RM23bil next year, after the abolition of GST.
He added that the prices of goods would be tracked when the SST is implemented, although the increase will not be as high as the GST.
"At the same time, the federal government is examining structural problems in the domestic economy, such as the power of the monopoly that taxes consumers," he said.
Lim said the research would treat basic objects such as rice and sugar as examples.
He called on senators to support the accounts to ensure that the current balance surplus of the government is maintained.
"If the GST is not abolished and SST is not adopted, it would mean that the estimated RM4bil in the collection would be lost and the current balance would be in deficit," he said, adding that this is the economic credibility and creditworthiness of would affect the nation. rating.
From 13.00 hours several senators participated in the debate, including S. Chandra Mohan, who supported the accounts, while Khairul Azwan Harun said he would decide after Lim's answer.
MCA senators Datuk Seri Ti Lian Ker opposed the law while Datuk Ong Chong Swen said regardless of whether senators supported the accounts, they would receive the king's consent because they were money accounts.
On 14 August the Dewan Rakyat passed on the invoice for turnover tax on 14 August, while the service tax 2018 expired on 15 August.