Malaysia not imposing GST this year

Date: September 12, 2012

KUALA LUMPUR: The Goods and Services Tax (GST) will not be implemented this year as the government is focusing on creating awareness on the new taxation mechanism among the people, Deputy Finance Minister Datuk Donald Lim Siang Chai said today.

He said awareness campaigns organised by the Finance Ministry are progressing well and are expected to conclude soon.

"We want all Malaysians to understand thoroughly what the GST is all about before tabling the GST Bill for second reading in Parliament.

"It's not likely to be tabled in the next Parliament session as the awareness campaigns will not have concluded by then," he told reporters after opening the CFO Summit 2012 hosted by the Asian Strategy and Leadership Institute.

On another matter, Lim said ministries and government agencies have been instructed not to delay payments to building contractors.

"It should be done on time because cash is like "blood" for them (contractors), especially the smaller players.

"Not only government agencies, the private sector must also emulate the steps taken by agencies and companies in Japan and Germany in paying their contractors (promptly)," he added. -- BERNAMA