THE Government is still studying whether to reintroduce the Goods and Services Tax (GST) and has not made any decision yet, Prime Minister Datuk Seri Ismail Sabri Yaakob said today.
The prime minister also said he did not announce that the Government would reinstate GST soon but merely said it was looking into this possibility.
“Many people reacted strongly when I said ‘not ruling out the possibility’ (of reintroducing GST), but I also said we need to study the negative and positive aspects of it first.
“I did not announce the reintroduction of GST. I just said we will look into it as studies have shown there is a shortfall of RM30 bil in revenue yearly with the move from GST to SST (Sales and Services Rax),” he told reporters after launching the World Environment Day celebration at Taman Tugu here today.
In a special interview with Nikkei Asia in Tokyo last week, Ismail said GST was seen as capable of widening the country’s revenue base.
He added that the Government was not ruling out the possibility of reinstating the consumption tax as an effective way to increase national income and help combat inflation and the rising cost of living. – June 5, 2022
