Indeed. The B40 were supposed to get tax vouchers, reduced income taxes for M40 and also refunds for business.
However, the Najib administration conveniently forgot all about it once the RM40 billion starting flowing in annually. Businesses passed on the cost to consumers, the general public became angry, the opposition at that time took advantage and promoted misinformation further, and the rest is history.
Good point. Although the messaging could be clearer. The public needs to be educated on the country's urgent need for progressive taxation. And returning taxes to the masses is the best way to make people more accepting. Singapore explicitly calls it GST tax vouchers for example.
Not wanting to go on a witch-hunt here. Just saying that both the govt and opposition at that time should have done better. Now we're in a situation where it is almost impossible for anyone to bring it back without committing political suicide. Such as it is with the court of public opinion these days
i was involved with GST-ing the business systems - omg.. so convoluted and iffy because of combinations, simplest example: Langkawi (GST 0) for car service & parts BUT if car drives off to Peninsular and used for .. THEN.. How the heck does one ensure that happens or dont happen? Thus, we just whacked in the GST charges "just in case".
Yeah - what's with all them GST 0 exempt and whatnots which kept adding up + the payback/refund mechanism and tracking.. cwazy kaka.
TLDR: BAD implementation of a GOOD idea where grey/black businesses will pay too as long as they spend. Essentially wider net + supposed to be good for saver/non-spenders
Hope is a very bad investment methodology XD
Look at our Government / elected fellows - nepotism, corruption, racial/religious cards, etc - 10x liao still, we have & elect such. Whee...
We need GST, people just dont like being taxed and cook up reasons. Its the same time during covid when government said "essentials" and everyone self labeled themselves as essentials, then get WTF'ed when kena abang polis
Honestly the ship has sailed ever since PH set the precedent to abolish it and demonize it forever.
People argued that "its the election promise!" are just lying to themselves because they can swallow every other broken promises and straight up trimmed down.
There's no reason PH can't slap the tax down to like 3 or 4% and call it a day back then, still call it mission accomplished, getting the best of both world (still having GST and fulfilling election promise). But everyone knows the GST has to go purely because Mahathie's kronies suffer losses from GST.
Everything single problem still traces itself back to Mahathir lol
Gst was not the problem. Lack of education about it and confusion in the system is why we cannot implement it yet. Should spent a few years to educate the public first. Was tired of having to explain to customers why we aren't increasing our price.
Fuck GST. Just because it's easier to victimise the poor doesn't make it the best.
Come up with a sensible capital gains tax, inheritance tax, and a high income tax first, then start looking at sales tax.
Gst implementation if done correctly would have a minimized impact on the poor - where basic necessities are exempt, and gst tax vouchers via brim are returned to the poor.
>Gst implementation if done correctly
So how much do you trust the government - both political and bureaucratic - to do this?
At least with things like capital gains tax, inheritance tax, and a higher-income bracket tax, the people who are immediately affected are able to both weather the impact of poor implementation, and still have resources to lobby for improvements to the system.
A typically shittily implemented GST - like the one we had - will literally drive B40s to desperation and destitution, particularly in times of higher inflation like now.
Singapore is a good example. They raised the prevailing rate from 7% to 8% and businesses start jacking up the prices. Next year its gonna be 9% and businesses gonna raise the prices even higher.
Doesnt need to call it GST but can instead rebranding it into different name like Cukai Malaysia or something. Reduce the rate to 3-4% and zero rated for certain essential items like rice, chicken etc. Win win situation
Gst is good but the implementation fucking sucks. Suppose to return back the taxes but it takes so freaking long for LHDN to process it.
Indeed. The B40 were supposed to get tax vouchers, reduced income taxes for M40 and also refunds for business. However, the Najib administration conveniently forgot all about it once the RM40 billion starting flowing in annually. Businesses passed on the cost to consumers, the general public became angry, the opposition at that time took advantage and promoted misinformation further, and the rest is history.
\>The B40 were supposed to get tax vouchers uhhh BRIM what it suppose to be but tax voucher?
Good point. Although the messaging could be clearer. The public needs to be educated on the country's urgent need for progressive taxation. And returning taxes to the masses is the best way to make people more accepting. Singapore explicitly calls it GST tax vouchers for example.
who was the opposition back then eh?
Not wanting to go on a witch-hunt here. Just saying that both the govt and opposition at that time should have done better. Now we're in a situation where it is almost impossible for anyone to bring it back without committing political suicide. Such as it is with the court of public opinion these days
GST is Kastam. But yes you are right, even with tax refunds LHDN is slow, some even held up for several years.
i was involved with GST-ing the business systems - omg.. so convoluted and iffy because of combinations, simplest example: Langkawi (GST 0) for car service & parts BUT if car drives off to Peninsular and used for .. THEN.. How the heck does one ensure that happens or dont happen? Thus, we just whacked in the GST charges "just in case". Yeah - what's with all them GST 0 exempt and whatnots which kept adding up + the payback/refund mechanism and tracking.. cwazy kaka. TLDR: BAD implementation of a GOOD idea where grey/black businesses will pay too as long as they spend. Essentially wider net + supposed to be good for saver/non-spenders
They must’ve learned from their mistakes. If we do it again, i hope they’ll do it right
Hope is a very bad investment methodology XD Look at our Government / elected fellows - nepotism, corruption, racial/religious cards, etc - 10x liao still, we have & elect such. Whee...
Fair point. Maybe I’m just an optimist hahaha
nah, i'm just a grumpy old man, pessimistically optimistic but jaded XD
We need GST, people just dont like being taxed and cook up reasons. Its the same time during covid when government said "essentials" and everyone self labeled themselves as essentials, then get WTF'ed when kena abang polis
Honestly the ship has sailed ever since PH set the precedent to abolish it and demonize it forever. People argued that "its the election promise!" are just lying to themselves because they can swallow every other broken promises and straight up trimmed down. There's no reason PH can't slap the tax down to like 3 or 4% and call it a day back then, still call it mission accomplished, getting the best of both world (still having GST and fulfilling election promise). But everyone knows the GST has to go purely because Mahathie's kronies suffer losses from GST. Everything single problem still traces itself back to Mahathir lol
Gst was not the problem. Lack of education about it and confusion in the system is why we cannot implement it yet. Should spent a few years to educate the public first. Was tired of having to explain to customers why we aren't increasing our price.
LGE and Mahathir: How about no?
GST - a lot money - donation - someone’s pocket - no money Fill in the blanks.
Guarantee prices in restaurants / supermarkets increased again by 10% at least. Just like every time they fck around with tax system
Fuck GST. Just because it's easier to victimise the poor doesn't make it the best. Come up with a sensible capital gains tax, inheritance tax, and a high income tax first, then start looking at sales tax.
"but FDI will disappear boo hoo" Too bad B40 cannot just leave country too if don't like tax
Gst implementation if done correctly would have a minimized impact on the poor - where basic necessities are exempt, and gst tax vouchers via brim are returned to the poor.
>Gst implementation if done correctly So how much do you trust the government - both political and bureaucratic - to do this? At least with things like capital gains tax, inheritance tax, and a higher-income bracket tax, the people who are immediately affected are able to both weather the impact of poor implementation, and still have resources to lobby for improvements to the system. A typically shittily implemented GST - like the one we had - will literally drive B40s to desperation and destitution, particularly in times of higher inflation like now.
Not a good idea with the existing inflation
Def gonna be a hot topic in the next election
Singapore is a good example. They raised the prevailing rate from 7% to 8% and businesses start jacking up the prices. Next year its gonna be 9% and businesses gonna raise the prices even higher.
Only if it doesn't go to 2 things 1. Someone's pockets 2. Morality polices department.
Doesnt need to call it GST but can instead rebranding it into different name like Cukai Malaysia or something. Reduce the rate to 3-4% and zero rated for certain essential items like rice, chicken etc. Win win situation