GST still a long way off, says Minister

Friday February 17, 2012

KUALA LUMPUR: The Goods and Services Tax (GST) will not be implemented any time soon as discussions and awareness programmes are still ongoing, said Minister in the Prime Minister’s Department Datuk Seri Idris Jala.

“No target date has been set yet. It will take at least a year from the time of announcement to the date of actual implementation,” he said at the National Transformation Summit.

“The GST is not a new tax as it is meant to replace the sales and service tax.

“Most countries that implemented the GST did so while protecting the poor. They made sure that staple items such as rice and flour were exempted.”

Idris added that the GST would boost the country’s economy.

“I am of the view that we must introduce the GST. We have 28 million people but only one million are paying tax,” he added.