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Monday, 21 April 2014

MInister Hassan Malek says people understand GST better now. Hurrah!






Minister Hassan Malek stated that people understand GST better now. How he comes to this conclusion, we don’t know. Maybe Hassan Malek is a clairvoyant or he has employed the Bomoh King. On the other hand, we know Hassan Malek has a penchant for saying things according to his limited understanding.
He is also hinting that the actual date for GST implementation has not been decided yet because it depends on when the Finance minister says so. It will depend on the readiness of the people and the economy to accept it he says as reported by the NST. Otherwise it will be implemented on 1st April next year. In just a few passages, Hassan Malek has revealed the confused thinking of the government as regards GST. Or is Hassan Malek the only one confused? Or is NST making fun of Hassan Malek?
How on earth can Hassan Malek infer that people understand what GST is all about? The people trading in pasar malam are cursing at GST saying it is just another money extracting scheme by the spendthrift BN government. The Chinese wholesalers in Pasar Borong Selayang keep asking and making fun of GST- apa itu GST? Gua tak kira lor.
They couldn’t care less. Walking around the Pasar Minggu on Sunday morning in Raub and asking why has the price of sea fish has gone up- the fishmongers readily volunteer attributing it to the decision of the agriculture minister deploying deep sea fishing vessels to look for the missing MH370. Asked about GST- they say who cares. All we care and are concern with are the rising cost of sales and the price of our products. People will spend less.
People get less money- the government is getting more money. People cannot tax others- government can increase income by employing a new tax system. The GST is a disease/penyakit. How do you ask people to support a penyakit? How do you want people to support a bad policy?
Let us see whether the more than 300 facilitators employed by the MOF will be able to enlighten the people about taxing at each phase of the supply chain. Maybe the government thinks it is speaking to an audience made up of accountants and other numerate people. Maybe the government thinks it is speaking to educated audience all over.
We know how UMNO will approach this GST issue. They will say 160 countries in the world are using GST. They will not say the most powerful economy in the world, USA is not using GST. They will not say the real reason why GST is used by these 160 countries is that each one of those countries needs more money. Malaysia wants to use GST to extract more money.
We must object to increased taxation because the idea of taxation is not to give money to government to run its business. The idea of taxation is to redistribute income not fund government operations.
Knowing UMNO they will factor in racial issues as one reason for employing GST and why it must be supported by the people especially Malays. They will say GST is a taxing regime to make sure tax evasion and tax dodging are limited. Those escaping and evading taxes are the Chinese and with GST, these people can’t escape. So Malays must support GST because the Chinese have evaded paying taxes to the UMNO government.
The UMNO apparatchiks will go around town repeating this story. The reason why this government lacked money is because many people are evading paying tax and so we must catch them.
It’s impossible to contain prices. Business transactions from one supply chainer to the other are done mostly on credit. When credit is involved there is an element of risk. Furthermore there are cash flow issues involved. Supply chainers pay upfront without waiting for reimbursements from the government. The government says, claims will be sorted out within 14 days. That is what they say.
Do you think , any businessman having to accommodate time-risk and credit risk will not put some artificial costing on these risks? They will raise the price and probably even incorporate a portion or all of the GST taxes on the goods which they sell.
Unless of course the government implements the anti-profiteering act and converts the whole economy under a price control regime.

11 comments:

Anonymous,  21 April 2014 at 19:17  

This Hassan Malek is a brainless fool. Our UMNO/BN government is also a bunch of idiots & scumbags.

looes74 21 April 2014 at 19:45  

Datuk,
I am very sure by the time they implement GST, Najib would say money no enough. GST will increase to 10%

Anonymous,  21 April 2014 at 20:32  

GST= gigit sampai tulang loo asan malek ooi!!!simpan sikit lu punya bodoh kasi lu punya anak cucu sama.

bruno 21 April 2014 at 20:41  

Dato,pea counters(figure's head minded)especially economists will cheer and scream till their lungs burst.They will come out like herds of bufallos supporting Governments who are implementing the GST.

Besides the government,this group of professionals in particular will support the GST because they are part of the pea counting community.The GST is look upon by these people as a last resort of additional income before the country's debt rating falls through the floor into quicksand territory.Or rather patiently waiting in line to join the Pigg's nations.

Anonymous,  22 April 2014 at 09:42  

Unless we are really dense (i.e.
tak ada otak), we already know that the GST is to raise funds because our 1PM-cum-Finance Minister has been spending public money in a totally irresponsible and fiscally dangerous manner !

Phua Kai Lit

Anonymous,  22 April 2014 at 17:45  

Well, well, well, what are we the man on the street supposed to, sit back and say, oh thanks Mr Minister for making the people understand. It is only when leaders take the rakyat to be fools, then the real game begins. When the rakyat's stomach go empty, and the sen in the pocket has gone to GST, then only will the Minister realise; when the baby in the crib cries and there is no food to feed the baby (no more money to buy milk) only then the rakyat understands & my friend, it is too late, much too late. Bantah GST.

Anonymous,  22 April 2014 at 19:21  

But that there are some Malay NGOs who support GST like hell? How more stupid can one be?

BH 22 April 2014 at 21:05  

Already the people have misgivings about how the gomen is going to spend the money collected under GST. Another UMNO scheme to siphon part of the GST revenue? Yes, you can bet on it. More mindless projects? Without doubt. Help in narrowing the fiscal deficit? I have grave doubts.

Who understands GST the way UMNO perceives it to be? Whoever is as mindless as those who think now people understand GST better.

Anonymous,  22 April 2014 at 23:26  

I only know that GST will be used to replenish the gravy train of the very top top UMNO leaders since the tax payers' money have already ran out or they need more.

If Hassan Malex is referring to this, then he is absolutely right.



Anonymous,  23 April 2014 at 03:05  

People must suffer before change of govt. UBAH !

Anonymous,  24 April 2014 at 08:38  

Let's be more realistic. When did the BN do anything that benefit us? It's always them and not us. GST is no difference. And with the shallow thinking and nincompoop ministers in the BN, one can be assured that things will go wrong from the word "go". Want to bet on a kilo of kangkung?

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