SAPP: GST a people’s nightmare

GST at 7% would amounts to an annual tax of RM1000 for every man, women and child in this country of 29 million people.

KOTA KINABALU: The 7% GST will only serve to push even more people to withdraw their support for the Barisan Nasional (BN) government, said Sabah Progressive Party (SAPP).

“Bearing in mind that this BN government only got 47% of the popular vote, such new taxes, which were omitted in the BN manifesto in the general elections earlier this month, would push even more people to withdraw their support and co-operation with this government,” said its Vice President Chin Hong Kiong (photo).

He was also convinced that the implementation of GST is bound to burden the people across the board, the ordinary folks in particular.

“Current Sales Taxes, upped from 5% to 6% last year, are already punishing businesses. Sales taxes and GST essentially turn the businesses into tax collectors for the government. Being an expenditure tax, GST jacks up the prices of goods and services. First to be hurt are the ordinary people followed by a downturn in business turnover which in turn dampens an already weak economic environment,” reasoned Chin who has been in the private sector for 30 years.

He also said the GST which was omitted in the BN manifesto in the general elections earlier this month reminds the people of the sudden, dramatic post-election increase in fuel prices of RM 1 per litre (diesel) and 74 cents (petrol) in June 2008 which triggered a fresh round of inflation that has stayed put till today.

Describing it as the peoples’ worst night mare coming true, its Vice President Don Chin Hong Kiong claimed that the imminent introduction of the GST at 7% would amounts to an annual tax of RM1000 for every man, women and child in this country of 29 million people.

He was responding to the shocking news by Minister in the PM Department, Datuk Seri Idris Jala, today that the proposed GST at 7% would guarantee revenue of RM 27 billion.

By Victor Ma