TS Sheriff on GST.
Only the basic essentials should be exempted: e.g infant and baby foods, medicines, essential vitamins, school books, health care equipment for the invalid. The rest should be taxed under the GST but the rates should start low and gradually increase with rising income levels.
Malaysia is increasingly becoming an ageing country. The population over 65 yrs old will soon overtake the younger age groups We will have to move to a welfare state in the near future and become like the UK, the Scandinavian countries, Australia and NZ to take care of the ageing population.
To move to such a state, the tax base must be strong. In Singapore, most of the working pop pay income tax. In Malaysia, only 10 % of the work force pay income tax. Therefore, the consumption tax GST is unavoidable.
It’s wrong to pamper the public on taxation. We made many mistakes in the past. We must not repeat those mistakes.