KUALA LUMPUR, Sept 15 (Bernama) — The Sales and Services Tax (SST) is no longer fit for a rapidly growing and economically progressive economy such as Malaysia and it is imperative for the country to expand and diversify its tax base, said Datuk Seri Najib Tun Razak.
The Prime Minister said Malaysia needs a more effective and equitable tax system that would help the country to secure its future.
Speaking at the International Seminar on the Goods and Services Tax (GST) in Malaysia in the capital, Monday, Najib said Malaysia cannot sustain its growth and development based on current revenue streams alone.
“Only one in 10 Malaysians pay personal income tax and 40 per cent of the government’s revenue comes from oil and gas, a resource which we know is finite,” he said.
That is why in April 2015 the governemnt is reforming the the tax system and replacing the SST with the GST, Najib said.
–BERNAMA
