PUTRAJAYA: While some people are hoping that the Goods and Services Tax (GST) will be postponed, the best approach is still to prepare for it, said Deputy Finance Minister Datuk Chua Tee Yong.
He said wishing for the GST to go away was not the way to go.
â€œTo prepare for the GST, we have been provided with a timeline since October 2013 until this April.
â€œJust like preparing for exams or proposals, sometimes there is never enough time, but the wise decision would be to register and be ready for it,â€ he said when asked to comment on a statement made by Gua Musang MP Tengku Razaleigh Hamzah yesterday, where he not only questioned the viability of the GST, but also asked for it to be postponed.
Chua said the GST was already a foregone conclusion, and if it was not implemented this year, it would still be implemented in the near future.
â€œNo doubt, there will be teething problems, but the most important aspect is that we are prepared to deal with issues,â€ he said.
Chua added that the ministry was also concerned about GST fraud as it continued to remain a problem for countries that have long implemented the GST, including Singapore.
â€œThere will be an â€˜advisory periodâ€™ after the GST is implemented, and this covers documentation errors as well as misunderstanding of the tax conditions, but it will be applicable to those who have registered for the GST.â€
On a separate matter, Chua said the Customs Department had agreed to relax the regulations for used cars or used motorcycles traders when they apply for the Relief for Second Hand Goods Margin Scheme.
â€œPreviously, businesses which were located at residential or non-commercial areas could not apply for the scheme as they were not located in areas specifically meant for used vehicle businesses.
â€œNot all states have designated areas, hence more than 60% of those who applied for the relief scheme had their applications rejected,â€ he said.
Chua added that with the relaxed regime, used vehicle dealers who registered could now apply for the scheme which would eventually help keep prices down.-The Star