- Government focusing on SST instead of GST to stabilize economy and meet fiscal deficit target by 2028
- Rolling out GST system would take 14-18 months with no additional income during that time
- Need to strike a balance between facilitating growth, creating wealth, and improving societal well-being
- Commitment under Fiscal Responsibility Act to achieve fiscal deficit targets by 2028
- SST regime easier to institutionalize compared to GST system
- Increase in SST rate in March with mechanisms in place to avoid ‘tax-on-tax’ mechanism
- Extending reach of SST for revenue growth without distorting economic impact
- Government committed to Ekonomi Madani framework for long-term wealth and economic stability
- Focus on practical solutions to balance economy, extending SST instead of introducing GST
- Introduction of e-invoicing in August to make financial transactions more transparent and monitor compliance
Source: thesun.my
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
