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 Malaysia not collecting enough tax, second lowest in our region

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vhs
post Nov 30 2025, 04:19 PM

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QUOTE(letitsnow @ Nov 30 2025, 04:06 PM)
world bank already advised: reinstate GST!

yes, even pasar malam also can kena GST as long as gov facilitate the system accordingly.

with GST. regardless of your ethnicity, income bracket, immigrants, citizens and even tourists, from legitimate or shadow economy, ALL kena tax fairly. you spend more, you kena more, simple and straightforward.

blame LGE for removing GST.
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A lot of people do not realize now SST structure is charging multiple taxes along the same revenue stream. It means producer 1 is being charged SST, then producer 1 sells to producer 2 and producer 2 is also being charged SST, etc. At this point, SST could be collecting even more money than GST. Reinstating GST is no longer the sure fire way to get more taxes, it might even get less.
tongue.gif

Many goods/services used to be exempted under GST is being charged SST now too. whistling.gif

This post has been edited by vhs: Nov 30 2025, 04:21 PM
vhs
post Nov 30 2025, 04:30 PM

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QUOTE(letitsnow @ Nov 30 2025, 04:23 PM)
the whole point of argument for the past 2-3 pages is about fairness in tax. not about revenue.

and even if SST indeed collected more, the unfairness still persists.
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But this article is about collecting more taxes, not about fairness. whistling.gif

Yes, there are a lot of unfairness in current SST structure. But it is also said to be "targeted" tax collection so that those more well off will pay more. Looks at the recent private sector dividend tax and capital gain tax in asset disposal.


 

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