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Monday, September 23, 2013

Is BN ready for GST? - Joe Taxpayer


SEPTEMBER 21, 2013


Dr Veerinderjeet, perhaps a more pertinent question to ask is, "Is the BN government ready for GST"?

Sure, the Customs Department would have you believe that they are ready; but if you have had any experience in trying to obtain a tax refund from them and various other dealings, then you may think otherwise.

But that is not my question; I am asking if THE BN government is ready. The main purpose of GST is to ensure a wider and fairer method of tax revenue collection. In Singapore it is very successful because the government ensures that the bulk of GST collected goes towards enhancing the life of its lower income group, for eg by refurbishing their HDB flats.

Knowing the propensity of our BN chaps for wastage, corruption, inefficiency and mismanagement, do you really have confidence that our GST revenue would be managed with a prudent and transparent mindset?

Do we have any confidence that we are no longer going to hear of cows and condos, RM56k binoculars or submarine commissions? What about "I help you, you help me"? 

I doubt it because the prime minister is already fulfilling his "I help you, you help me" promise by rewarding his voter base, having prepared a big billion ringgit goody bag for them recently; who said Janji ditepati is mere sloganeering? Not when it's "I help you, you help me" time!

What is the point of collecting GST when the government continues to subsidize inefficient, wastage and resource hogging industries (think Proton)? What is the point when the government subsidies inefficient allocation of resources via privatization for the benefit of cronies (think the IPP contracts)? What is the point of collecting GST when we already taxed heavily by BN's love affair with the other form of "indirect tax" - corruption?

You listed the infra-structure that is necessary to operate in a GST environment; but, as our previous PM stated, we have world class infra with third world mindset in maintenance, and without exception, this extends to many of our jabatan kerajaan.

Try calling their service center hotline. It took the LHDN many years to achieve a certain service level (though still far from satisfactory, considering that they are so "efficient" when it comes to tax penalties!); does the Custom have the luxury of time to ensure a competent roll out and upkeep of the program?

Here's my conclusion; until we have a clean and efficient government at Putrajaya, GST is otherwise going to add to our social sorrows; it will, as you say 'ultimately affect the man on the street', because, the BN government is not known for the 'need to tread carefully' where Joe Public is concerned. – September 21, 2013.

* The writer reads The Malaysian Insider.

* This is the personal opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insider.

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