Barisan Nasional (BN) plans to push for the reinstatement of the Goods and Services Tax (GST) after the 16th General Election (GE16), describing it as the most effective system to ensure fairness and strengthen national revenue.
BN chairman Datuk Seri Dr Ahmad Zahid Hamidi said the coalition is willing to allow the current Sales and Services Tax (SST) to continue for now, but its long-term position remains firm.
“The BN stance is to bring back the GST. We will give the SST a chance for now, as there are two years left,” he said during the opening of the 17th Makkal Sakti annual general meeting. “But after GE16, we will demand that GST, the best tax regime, be reinstated.”
Zahid’s remarks came in response to Makkal Sakti president Datuk Seri R.S. Thanenthiran, who had called for the return of the GST, arguing that the SST has caused significant public hardship.
The deputy prime minister noted that over 155 countries have implemented the GST, highlighting its global effectiveness. “Malaysia is among only eight countries still using the SST. We implemented the GST before, then reverted to the SST to fulfil a previous promise. So far, we have supported it. But after GE16, we must insist on the GST. It must be implemented,” he said.
The GST, a multi-stage consumption tax, was first introduced on April 1, 2015, but was abolished and zero-rated on June 1, 2018, and replaced by the SST on Sept 1, 2018, in line with the previous Pakatan Harapan government’s manifesto.
