KANGAR – Revenue from the Goods and Services Tax (GST) will help the country’s finances when it faces the prospect of falling oil prices, said Prime Minister Datuk Seri Najib Tun Razak.
“Fortunately, we have GST, if there was no GST, definitely our finances would be pressured. Pressured because when the oil prices drop, Petronas’ dividends will be reduced, royalties will decrease.
“From where will we finance our expenditures,” he said at the joint opening ceremony of the Padang Besar, Kangar and Arau UMNO divisions delegates’ meeting at Dewan Wawasan 2020 here, today.
Najib said the implementation of GST was not to burden the people and he adhered to the principle that ‘(money) from the people, will be returned to the people’.
“I have promised to the people that additional (returns from) GST would be reflected in the next budget, in what manner we are going to spend the extra money,” he said.
Najib explained, the problem with regard to GST arose when unscrupulous traders took advantage of the situation.
“As Shahidan (Minister in the Prime Minister’s Department Datuk Seri Shahidan Kassim) said, they are (traders) who added GST but did not not remove SST (Sales and Services Tax),” he said, adding that GST was now implemented in 160 countries.
In this regard, he urged the public to choose traders who were honest.
“We should choose places and traders who sell goods at a reasonable price,” he said. – BERNAMA