fbpx

sst-return

Finance Ministry: Fiscal reform under way, SST to be re-introduced

PETALING JAYA: The fiscal reform initiative is under way following the announcement that the Goods and Services Tax (GST) will be zero-rated from June 1, says the Finance Ministry.

“The shortfall from GST which is to be zero-rated effective June 1, 2018 will be cushioned by specific revenue and expenditure measures that shall be announced in due course,” it said in a statement on Thursday.

It said that the Sales and Services Tax (SST) will be re-introduced while expenditure reduction will begin with rationalisation, efficiency measures and reduction in wastages.

The higher oil prices now will provide a buffer for the immediate future, said the ministry.

It said that the oil prices have been higher than the US$52 (RM206) per barrel that was estimated for Budget 2018.

“This provides fiscal buffers for the immediate future. Fiscal responsibility, transparency and governance will be a paramount consideration in rolling-out the fiscal reform,” it said.

Global benchmark Brent crude on Tuesday (May 15) hit U$79.47, the highest since November 2014, before easing below US$78 on Wednesday (May 16) and settling at US$79.28 a barrel.

The ministry said the reduction of GST rate from the current 6% to 0% will be implemented nationwide until a further announcement is made.

GST was implemented in April 2015.

Pakatan Harapan had promised it would abolish GST in the first 100 days after taking over Putrajaya.

In January this year, former prime minister Datuk Seri Najib Tun Razak said that the Customs Department had collected RM44bil from GST in 2017, higher than the RM41bil collected in 2016.

 

Source/ Reference: https://www.thestar.com.my/news/nation/2018/05/18/a-tax-holiday-for-malaysians-sst-to-come-into-effect-only-in-2-to-3-months/ (As at 17.5.2018)

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on whatsapp
WhatsApp
Share on email
Email

Related Posts

How to make Mom into Supermom

Life is a constant balancing act. Especially true for the working moms. I can vouch for this; I am a mother of two little princesses. Trying to juggle our career, duties as a wife, plus relations with inlaws, and the responsibilities to our children can be challenging and overwhelming.  Here’s a compilation of the tips

How to Survive an IRB Audit

As the saying goes, it’s best to hope for the best but be prepared for the worst. Let’s look at a few things which will trigger and audit, so you can be well-prepared if you’re chosen for an audit.

Happy labour day 2022

HAPPY LABOUR DAY Yippy…​ It is long holiday! Labour Day 1 May 2022 Hari Raya 3 – 4 May 2022 School Holiday 2 – 5 May or 3 – 6 May This past 2 months has been filled with  Ukraine War and Basikal Lajak It is sad to see and hear what’s happening. The skyrocketing

Scroll to Top