GST

dont blame opposition but reality is 'stupidity"

Government Agencies Asked To Enhance Clarification On GST Before Implementation

HULU TERENGGANU, Dec 13 (Bernama) -- Government agencies involved in channelling information on the implementation of the Goods and Services Tax (GST) are asked to intensify briefing programmes and go down to the target groups before the date of enforcement in April next year.

Deputy Minister of Communications and Multimedia Datuk Jailani Johari said it was important for government agencies and community leaders to understand in depth the subject matter before giving explanation to the public besides making efforts to curb the negative perception played up by the opposition.

He said that agencies under his ministry such as the media department of Radio Television Malaysia (RTM), Information Department and the Special Affairs Department (JASA) were actively going down explaining to the people on the matter with the collaboration of the Domestic Trade, Cooperatives and Consumerism Ministry.

"On the part of the KKMM (Ministry of Communications and Multimedia) itself, efforts at disseminating and channelling information on the GST in the various media are being actively carried out and hopefully within the next few months, our understanding on the GST as consumers can be enhanced and give the desired effects," he said.

Jailani, who is also the member of parliament for Hulu Terengganu, said this to Bernama after opening the programme 'Kuasa Pengguna 1Pengguna 1Suara' to tackle the rising cost of living, near here today.

The GST will be enforced on April 1, 2015 following the announcement by Prime Minister Datuk Seri Najib Tun Razak, who is also the Finance Minister, when tabling the Budget 2014.

-- BERNAMA

GST: Traders warned not to pass on the input tax

GST: Traders warned not to pass on the input tax

Published on: Friday, November 14, 2014

Email to a friend     Printer Friendly

LABUAN: The Anti-Profiteering Unit under the Ministry of Domestic Trade, Cooperative and Consumerism is all set to combat exploitation by traders when the implementation of GST comes into effect on April 1, 2015.
The unit's Deputy Director Low Swee Hon warned that traders cannot pass the cost of input tax to the consumers.
The penalty under the Anti-Profiteering Act for Sdn Bhd is RM500,000 fine for first offence or RM1 million if charged for the second time. For non-corporate, the maximum fine is RM100,000 and three years' jail if charged for the first time.
Input tax is the GST charged on the goods and services used in the business activity which could be claimed by the business owner, whilst output tax is the GST the retailer collects on behalf of the government, charged and itemised when the goods are sold to consumers.
Explaining that it was not the intention to set prices, Low said, "It is up to the business to price their goods within a reasonable margin but not discriminately. If a product is non-GST, the customer should not be billed."
If the cost of doing business has increased, the quantum passed on to the consumer must be within the range.
The investigation, based on complaints and price trends too significant to be ignored, would give the trader a chance to explain.
Speaking at a public forum on GST, she advised traders to be acquainted with their obligations under the new tax regime.
One member from the floor posed the issue of abuse of diesel subsidies, Low told the audience that the Ministry's enforcement had managed to confiscate the fuel valued at RM32 million.
Although Labuan together with Langkawi and Tioman are exempted from GST, logistics, telecommunications, RON 95 petrol and Astro subscription are GST-rated.
Labuan and its dependent islands – Kuraman, Papan, Burung, Rusukan Besar and Rusukan Kechil are duty-free. But lying outside these islands in the high seas are considered Customs Main Area.
A total of 156 companies have registered under the GST to supply goods to the offshore oil rigs.
The forum was moderated by Domestic Trade Enforcement Chief Aslani Dabi while the other panellist was Sabah Deputy Director of Customs, Vanitha Lojuti.

Stagnation and bureacracy aplenty escalate decline..

GST-induced inflation is a given, the danger now is stagflation

November 6, 2014

Stagflation is the combination of a “stagnant” economy and higher “inflation”.

COMMENT

By Liew Chin Tong
Almost a month since Budget 2015 was presented on 10th October 2014, the Government and its backbenchers were trying hard to gloss over the question of GST-induced inflation, let alone answering the real danger on the horizon – that of stagflation.
The general defense of the Government is that there will be a small increase in prices for a short term and some goods would see a fall in prices due to the removal of Sales Tax. That is essentially the line adopted by even Prime Minister and Finance Minister Datuk Seri Najib Razak.
But GST-induced inflation is actually a given.
The government’s own Economic Report 2014/2015 (pg. 129) states “In 2015, inflation is expected to increase 4% – 5%, largely due to the implementation of Goods and Services Tax (GST) and the spillover effect of fuel subsidy reduction in October 2014. Given the subdued external cost pressure, domestic cost remains the major factor that drives inflation in 2015. The implementation of the GST will have a transitory impact on the cost of goods and services.”
“However, the strong capacity expansion over the past years will help to mitigate the cost pressures, while a more cautious stance of consumers would also contribute to moderating demand and hence prevent inflation from becoming more entrenched.”
What the Government has yet to recognise is that of the danger of stagflation caused by a combination of factors such as 1) slower growth in major global economies thus reducing external demand for Malaysia’s goods and services; 2) the depletion of disposable income due to GST-induced inflation hence a plunge in domestic demand.
Stagflation is the combination of a “stagnant” economy and higher “inflation”.
The GST and fuel price hike would force the people to consume less which will hurt domestic demand- a prime mover of the Malaysian economy. At the same time, we could not rely on exports to boost the economy as the three major global markets—the United States, Europe and China’s demand are either weak or stagnant.
Needless to say, the fuel subsidy reduction is making goods and services more expensive than before, further draining the already shrinking disposable income of ordinary Malaysians.
The consequences of impending stagflation could be dire in terms of macroeconomic scale – with no growth, no wage increase, fewer jobs and higher cost of living. The trickle down effect on the rakyat, especially on the lower income group, will be painful. This has been proven in other countries which have experienced stagflation such as Russia, Thailand, and the US in the 1970s.
The government must take heed of the red flags and address the threat of stagflation with appropriate policy responses to get our economy moving again, or risk the impending disastrous consequences.
Liew Chin Tong is DAP National Political Education Director and MP for Kluang.

GST for Sabah???

My written comments at the GST seminars organised by CAPS/FOMCA
GST FOMCA
Sabah belum sedia kerana kos implementasinya adalah banyak kerana pentadbirannya bagi compliance.

The BIG gap of urban and rural for costs of goods and sales of goods within Sabah not to consider nationwide as there is no 1price for the nation.
If service tax of 1975 can be postponed till 1993, GST should be zero rate/ exempted till 2019 to enable underdeveloped Sabah and Sarawak to catch up with Malaya.
Sabah should not pay for the subsidy of oil/ petrol for the decades for the nation as Sabah is an oil producing state hence the subsidy should be off set by Sabah oil export when the global prices of oil or crude oil escalate, hence the subsidy is irrelevant for Sabah.
I call for a Royal Commission of Inquiry on the subsidies especially for oil/petrol before proper implementation of subsidy rationalization. Sabah’s pump price at the petrol station should be RM1 per liter like Brunei.
Kaum Cina dan persefahaman English mungkin kurang faham kerana dak ada ceramah dalam bahasa masing-masing.
Mobilisation fund to implement GST can be substantial especially for those below RM1m turnover and such costs could be passed over to the consumers at large hence the increases of prices across the board.
Kebanyakan peniaga di Sabah belum sedia laksanakan GST seperti dijadualkan. Negeri Sabah di tunda ke 2019 dengan zero rate saja.
To implement GST in Sabah without “shock” to the public, it is important to have in 1Malaysia, 1price as there are too many disparities with Peninsula Malaysia. All the disparities must be dealt with promptly to make GST @ 6% more meaningful. Any thing predictable and unpredictable can happen in Sabah. The selling price of petrol in Sabah should be RM1 per liter for an oil producing state like Brunei as the subsidy is not applicable as far as Sabah is concerned.

the rich people are mostly in BN/UMNO.

the rich people are mostly in BN/UMNO.


Dewan Rakyat: GST Should Be Imposed At Different Rates According To Category, Says BN MP
KUALA LUMPUR, Oct 16 (Bernama) -- A member of Parliament today proposed to the government to impose the goods and services tax (GST) at different rates according to category.

Tan Sri Shahrir Abdul Samad (BN-Johor Baharu) said the government should also make the GST more flexible and consider restructuring it after a year of implementation.

"For example, the GST rate for luxury items should not be fixed at six per cent. Maybe it can be fixed at a higher rate," he said when debating the Supply Bill 2015 at the Dewan Rakyat sitting here today.

The GST of six per cent is set to be implemented from April 2015.

Shahrir also proposed for the government to implement luxury tax on luxury properties and assets as part of the moves to increase government revenue as being practised in Netherlands and Norway.

"Not only the people there have to pay the income tax, they must also declare their assets and that the luxury tax will be imposed based on their luxury assets or wealth," he said.

Meanwhile, Dr Noor Azmi Ghazali (BN-Bagan Serai) when debating the same bill proposed for the government to find a new mechanism to ensure that each subsidy would only benefit those who needed it most.

He said this was because, at present, the subsidies on petrol and diesel, for example, were also enjoyed by the rich people, as well as foreigners.

"This is not fair because the subsidies should benefit the people, the low-income group, who needed it the most," he said.

As such, he said the government should scrutinise the eligibility of subsidy recipients to ensure that only those who deserved it would receive it, and to prove the government's transparency in giving the subsidy.

"There should be certain criteria that must be met before the recipients can receive the subsidy, such as a proof in the form of a wedding certificate," he said.

The sitting continues on Oct 27.

-- BERNAMA

GST exempt, zero-rated and relief lists gazetted

http://www.malaysiakini.com/news/277515

GST exempt, zero-rated and relief lists gazetted

 71  4 0

KINIBIZ The list of goods and services to be exempt under the Goods and Services Tax (GST) was gazetted yesterday by order of the Second Finance Minister Ahmad Husni Mohamad Hanadzlah.

Also gazetted were the zero-rated list, which covered among others a wide range of meat, vegetables, fruit and printed materials. The third order gazetted was the exempt list which details groups or individuals who are exempt from paying GST on specific items.

The goods exempt list included land that was to be used for agricultural or residential purposes, such as residential property.

The list also included any investment in gold, silver or platinum - so long as the metals’ contain investment characteristics. Such as being refined by a refiner listed on the ‘good delivery’ list of the London Bullion Market Association for gold and silver. And from refiners listed on the ‘good delivery’ list of the London Platinum and Palladium Market for platinum.

Financial services including savings and current accounts, trading in bonds and securities and life insurance or life reinsurance were listed under the exempt services list. Education services from primary through to tertiary are also exempted. As is private child care and preschool offered by any provider registered the Education Ministry.

Healthcare services provided by any registered private operator are also exempt from GST. These include among others, medical, dental, allied health and midwifery.

if exempted, petrol outlets in trouble.

RON95, diesel and LPG exempted from GST

 

http://www.malaysiakini.com/news/277225

Overall increases would prevail after GST

HUSNI, WHERE DID YOU GET THIS FIGURE?

• 
  
• 
  
• 
  

8 October 2014

Dear YB Datuk Seri Husni,
Last month, a senior staff from the Ministry of Finance came out with the statement that the GST would only add RM 46.94 to the expenses of a family which has an expenditure of RM2000 per month and not RM120 as one might expect (6% x RM2000). This was quoted in page 6 of Starbiz 16/9/2014. According to Datuk Siti Halimah Ismail, the undersecretary for the Tax Division of the Ministry of Finance, the implementation of the GST would only increase the expenditure of this family by 2.35%. Frankly, I find this quite intriguing. 
Would it be possible for the Ministry to share the calculation underlying this statement by putting it up in your web-site so that the public can judge whether or not it is true.
I believe that to make a forecast such as this, one would need to make a list of goods and services that a family with a monthly expenditure of RM2000 will be purchasing in a month. Then one would have to divide these goods and services into 6 categories as shown in the table below. Then one would have to calculate the increase in the costs of each of these categories.

	Goods and services that have sales tax now	Goods and services that have no sales tax currently
Zero rated goods
GST Exempt Goods
Goods and services that will be charged 6% GST

What were the assumptions made by the Ministry in arriving the 2.35% figure?

1. Did you assume that all goods that were previously charged sales tax of 10% would be 4% cheaper once GST is implemented? In other words you are expecting that all the outlets all over Malaysia will dutifully lower prices for these items because the Sales Tax is abolished. Our experience is that prices are “sticky” downwards – retailers are usually reluctant to lower prices.

2. Is the Ministry assuming that all goods that are zero rated will have no change in their prices at all? Is this a valid assumption? Let’s take the case of vegetables, which is zero rated. But the farmer’s production costs will go up – fertilisers, pesticides, diesel for machinery and transport, etc will attract GST at 6%. For zero rated items, the producer can claim back input tax from Customs. But how many of our vegetable farmers do you think, Datuk Seri Minister, would be registered with Customs? For you can only claim back “input tax” if you are registered with Customs. If the vegetable farmer cannot claim back the increase in his costs for the GST paid on his inputs, would he not pass it on to his customers in the form of a price increase?

3. Did you calculate the price increase of all goods exempted from GST to the second decimal place? As you know, GST exempt goods will not be charged GST at the point of sale to the customer. But unlike the “zero rated” items, the retailer will not be allowed to claim back the GST he paid when buying these items from the supplier, so the retailer will pass the GST that he paid to the customer in the form of a higher price. Do you really believe that the retail sellers will so scrupulous to calculate the exact amount of GST he actually paid? Won’t there be cases where prices are hiked up more than 6% using GST paid (when purchasing from the wholesaler) as an excuse? Does the Customs have the capacity to monitor the situation across the country? May I refer you to page 14, The Star. An article entitled “Prices of sundry goods shoot up overnight after fuel hike” begins thus – Retails outlets in Sabah have started increasing the prices of sundry goods by 70 sen to RM1.40, just hours after the latest fuel price hike.   

This is the normal behavior of businessmen. They will use any opportunity to hike up prices if they feel they can get away with it. Is your Ministry in a position to monitor and prevent all of this. If not, then shouldn’t you review the assumptions made in your calculation of the impact of the GST on the budget of lower income families?

I can appreciate the argument that the GST will lead to more comprehensive reporting of actual earnings in the private sector, and that tax revenues will go up. But I think it is dishonest to pretend to the Malaysian Public that the impact on them will be negligible. If we want to build a democratic culture in Malaysia, it is important that we speak the truth and allow open discussion on important policy decisions based on facts.
I am writing to you as Finance Minister I must be busy with various responsibilities. I hope you, as Finance Minister II will instruct your staff to make their calculations public so that everyone can see how you arrived at 2.35% figure.
Thank you.
Dr Jeyakumar
PSM Central Committee Member & Member of Parliament for Sg.Siput
Parti Sosialis Malaysia (PSM)
8/10/2014
019-5616807

malaysia day message 2014

Malaysia Day 2014 message from PM of IGGG

This very important message for 2014 is likely a re-enforcement of putting our human rights in Sabah into proper perspectives based on facts and not on disillusion of largely untrustworthy people holding some positions in the nation but irresponsible to make immediate correction of errors – true and fake – in the past.  Don’t be deceived by lies of illegal leaders when repeated for 51 years have become the truth especially about the existence of “Malaysia” when such nation does not appear in legal paper or legal constitution.  Who want to accept the argument that there are things that are not in written form in the Constitution or the unwritten portion in the Constitution?  I would consider such statements would come from the CRIMINALS in Government.

1.         31 August and 16 September

The argument that “Malaysia” can emulate the USA style of Federation is based on a deceit as it is comparing an apple [Malaya] with a pear [Malaysia].  “Malaysia” – proper or not – was assumed to be in existence after a series of illegalities in the written agreements now under close scrutiny.  What is the status of the Malaysia Agreement 1963 is now exposed as simply invalid.  The position assumed was that Sarawak [S], Sabah [S], Malaya [M] got their independence from the common colonial master – the Great Britain – on 22 July, 1963, 31^st August, 1963 and 31^st August, 1957.  There was nothing about independence when “malaysia” was formed on 16^th September, 1963 by the S,S,M together with Singapore which later “left” “Malaysia” on 7^th August, 1965.  So 16^th September, 2014, the 51^st anniversary has nothing to do with independence.  “Malaysia” or rather Malaya had just celebrated the 57^th Independence Day [red herring] on 31^st August, 2014   Can we get this clear now?  If anyone is not happy about what I write based on the history, then I would call the 16^th September, 2014 as a “slavery” day of “Malaya” as far as Sabah and Sarawak are concerned.  If we are not in slavery of the “Malaya” whose people call themselves the Malays and Tun Dr Mahathir call them as “thieves”, then why are we so much behind Singapore with scarce resources to start with when the GB just wished to ‘abandon’ Singapore in the mid 1950s as Singapore was ‘independent’ in July 1959.  Singapore GDP per capita in 2013 was USD50,000 while SSM with vast natural resources was only USD11,000.  I think as far as Sabah and Sarawak are concerned our GDP per capita is much less at about USD3,000.  I hope you can prove me wrong if we are not in “slavery” of sort.  Much of the GDP in Sabah is allocated to foreigners.  So my wish for 51^st “Malaysia” day is for Sabah to be set free from such bondage and image of “slavery” before it is really too late for the fate of 28million people in the nation.  There is a lot of hard struggle to do this now.

2.                  Malaysian or 1Malaysia as pure slogan

I am not going to write much about this as there is no sincerity on the reality of the perception.  We all know in our hearts, minds, souls and spirits, such thing as 1Malaysia does not prevail in reality and it is a slogan forever when the existing dubious Government has a different perspective.  Similarly slogans in the past like Amanah, Bersih, Cekap  and Cemerlang, Gemilang, Terbilang and ….have largely been for show only to feel good by some people.

3.                  Isaiah organic mattress

Who would we expect that such a special product with a Biblical name has come to the nation?  So what does it serve as an indicator?  Isaiah is a name of a chapter/ book in the Bible, organic is a special concept of well being, and mattress is what we sleep on it daily for comfort.   Every book in the Holy Bible has messages for all human beings and so is Isaiah in its prophetic message.  In 1998, God reveals to me Isaiah 45, 46, and 47 for the nation.  Then I forwarded this timely message to the then Prime Minister Tun Dr Mahathir on the indicator of the direction of the nation.  I will post this brief booklet on my blog later.  As you know, ‘Malaysia” was in financial turmoil and the losses have not been recovered till today.  So we should find comfort in the message of Isaiah for Sabah especially as Sabah like Sarawak have been largely a Christian country until gradual erosion after the contagious effect/impact of Malaya..

4.                  Flags –Jalur Gemilang

Over the recent years, the zeal of the people in Sabah to fly the national flag – Jalur Gemilang has waned.  The message of physical manifestation is clear as it is in the hearts of people where we belong.  The flag is symbol of truth, and when that is not the “truth” people can see through it.  So let it be when “slavery” of sort is unbearable..

5.                  Important matters – MA1963, Oil & Gas, Bank Negara’s printers; Security,

These are important matters that must be addressed accordingly and come up with solutions for the well being of all.  There is no justice in the way “Malaysia” has handled in 51 years where legality, wealth sharing, robbery can affect everyone as far as security is concerned.

6.                  Report of RCI IIS

Where is the much expected Report of the Royal Commission of Inquiry on Illegal Immigrants Sabah long delayed for almost a year?  As it is a Royal Commission, who can block the emergence of the said report which is so essential for the security and justice in Sabah?  Does it imply that the King has a hand with such regression?  Do we need to call another RCI to establish the truth of the suppression? If such published Report can very much disturb the security as perceived by some quarters, such people should not be in high office any more.  Such entanglement was the “creation” of such people in the first place especially it is known beyond any grain of doubt that Musa Aman and his small committee still holding top positions in Sabah had issues 400,000 blue identity cards to illegal people for their selfish gains –financially and politically with rampant consequences of “ethnic cleansing and apartheid” in Sabah and beyond.  It is also a scam of Malaya to harm Sabah.

7.                  MAS, Proton, Khazanah, EPF (Battersea), Petronas etc

Does the nation have any sovereign fund to ensure the well beings of the people in years to come as the global challenge bites in the communities in the nation?  What we know and what we can see is that the nation has already over committed to various major adventures and misadventures – locally and globally- resulting in inevitable financial strains and crisis of unacceptable economic proportions in the near terms.  We are selling our raw commodities at floor bottom low prices when we should deal in value-added items especially in the food industries. Why Petronas invested the fund largely derived from Sabah and Sarawak into foreign projects and very little returned to the two states until recently?

8.                  Environment – Concrete Jungle and TAB

Does that really mean progress when some quarters only concentrate on more concrete buildings in already congested areas such as Kota Kinabalu, Sabah?  It is replacing a once  friendly environment with much concrete jungle causing much disruption in communication when there are not enough roads and car parking especially in already built up areas in Kota Kinabalu.  Consumers and residents would soon find it very difficult to get in and out of Kota Kinabalu’s Central Business District especially when public transport is largely inadequate and unreliable. The uncontrollable taste for concrete jungle has also gone beyond Kota Kinabalu city proper so much so that Tanjung Aru Beach [TAB] away from the city would never be the same when buildings of all sorts would rise up from the pristine beach once white and sandy.  The evil pretext to improve the much neglected eco status of TAB by design of the CRIMINALS in Government for decades by DBKK is to totally destroy the natural place for personal gains given the sky rocket prices of prime land in Sabah especially in Kota Kinabalu.  When finally TAB faces its fatal fate, where else would there be untouchable in Sabah?  So we must stop TAB by TAEDSD at all costs as the likely destruction with much reclamation of the seashores is irreversible by whatever human intervention.  What is more beautiful if it is not God’s Creation?  Who want to claim that they can do better than God?

9.                  Goods and Service Tax (GST)

What is GST really when it is implemented in “Malaysia” when her threshold to prosperity is questioned?  With GST, it is a totally different game in the economy.  Is “Malaysia” prepared for that?  From all the recent press releases and press conferences, I think many do not know what is GST when it is implemented especially in corruption riddled administration?  Even the preliminary stage of registration has already exposed the weak points of GST in the context of acceptance of the people especially the business community and the consumers at large.  Does the administration know how many would be eligible to be registered?  Why it is only twelve weeks away that less than 15% is registered? Would this be a “last minute” effort?  Would the whole process be meaningless as initial costs are too much for the business community? The illegal PM had declared BN/UMNO with the endless possibilities.  So what are the possibilities with the event on 1^st April, 2015? Would those foreign speakers coming with arm chair - lack of hands on - experience really motivate the business community with the registration where costs of implementation can be quite hefty.   Business people spending their own hard earned money would like to see through the process counting the costs involved. That would not be a problem for the public listed companies and Government linked companies to incurred such preliminary expenditure in relevant costly items.  If BN/UMNO have endless possibilities, the hard pressed business community would also have to weigh all the possibilities including the acceptance of the consumers at large in many scenarios.

10.              Rigged GE and Pakistan

It is beyond any grain of doubt that General Election 2013 was again rigged heavily in favour of BN/UMNO by none other than the Election Commission of Malaysia (ECM).  This is also confirmed by the attitude of Malays by Tun Dr Mahathir as money is too tempting.  Rigging has been going on for decades and how can ECM be absolved of the crime against humanity? Yes, the opposition did win more seats in GE13.  If not for the repeated rigging or “raping” of the voters, Pakatan would be in Putrajaya like it or not.  My views on the rigging have been confirmed in GE2004, GE2008 and GE2013 in meticulous scrutiny.  I went to the High Court over GE2004 and GE2008 but were simply struck off by the questioned/conditioned judge even when there was a “walkover” in early hearing for me to proceed to full trial when the defendants for GE2008 did not appear before the early bias Judge.  ECM denied everything but it realized its crimes and when GE2013 came about, ECM did cover its tracks by two steps namely an important item was omitted in the official Gazette when compared with early GEs and the correction of discrepancies by publishing a second edition of the Gazette.  With two editions of the Gazette on GE13, it confirmed rigging.  Pakistan is at the present embroiled in a tussle of rigged General Elections with civil disobedience, and where would it be heading for?  Similarly, the CRIMINALS in Government in Malaysia are so happy to be warming the seats with all sort of threats using now the possible defunct “Sedition Act” of 1948 to cover their tracks.  So I had proposed since GE2004 for an Interim Good Governance Government Malaysia or IGGG M as a solution to the impasse of illegal Government with all the illegal authority to destroy the nation with a possible Bada bing for “Malaysia”.

11.              Race & Religion???

Where on earth can a religion change a race?  Did God say that?  Why is it seditious?  Is it seditious to comment on the Federal Constitution which is no longer “sacred” with so much dubious and genuine amendments over 51 years?  Isn’t it very strange that the Federal Constitution states Malay =Muslim= Malay?  Why strange if Arabs also Muslims are not Malay?  Why so special about ‘Malaysia” when its legality is questioned? Sabah was never a Malay=Muslims=Malay in 1963 if its independence is to be respected.

12.              Secession?, separation?, leave?,  kicked out?, divorced? or simply abandoned???

This is seditious matter and it is a Federal Constitution item. We cannot talk about a legal item be it in the Constitution or otherwise?  So far so good, we have been intact for 51 years of “neglected” marriage but “Malaysia” never talked of love.  Was “malaysia” thing a love at first sight or Sabah was betrothed by arranged marriage of the British Empire disintegrating like a “big bang” or a “big divorce” or forsaken children as orphans? Or was “malaysia” a new family in 1963 after a rare event somewhere?  Now after 51 years, the theme for celebration on 31^st August, 2014 has finally emerged to express LOVE for Malaysia, LOVE in Malaysia.  Was Singapore “kicked out” of “Malaysia” in 1965?  We know many married couples once in love were then divorced with great responsibilities subsequently for the wife or wives.  So when some illegal leaders come up with LOVE for Malaysia in 2014, can we not talk of “divorce” or face seditious charge?   So is this theme on “LOVE” another indication for the nation in the face of disparity, oppression, lopsidedness, injustice, neglect, ab initio and now much aggravated and exacerbated by endless possibilities of BN/UMNO.  Can we cry over LOVE meaning “Leave Over Very End” or “Leave Out Very End” as really intolerable now as the last resort?  Can we see some sense in this as in marriage it is “till death do us depart”?  Can “Malaysia” as a questioned marriage for its legality be facing any real “death”?  So it is DEATH for “Malaysia” when Sabah, Sarawak & Malaya do depart which should have taken place in 1965.   If Malaya could not hold on with Singapore for whatever reasons, can you sincerely believe that Malaya can still hold on to Sabah and Sarawak when all the signs are already there for a bada bing divorce.  Under Act 750, our oil wealth already taken geographically.  If we want to debate on this “bada bing” of “Malaysia” to prepare ourselves for such an eventuality, it is a totally different forum.   We all know that in good times of the nation, Sabah and Sarawak had been largely left out in the main stream of development as Menteri Besar of Kedah Datuk Mukriz Mahathir had said “Kedah would not be today as developed if not for the wealth and resources of Sabah.”  I think all the states in Malaya can say the same.  So when bad times come to the nation inevitably, where would Sabah and Sarawak be?

So mulling over LOVE as “Leave Over Very End” or “Leave Out Very End”, as the cry is getting more intense and loud as far as in the Great Britain, are we in better position to prepare that day when LOVE is the deciding factor in the nation?  We know Sabah and Sarawak were ill prepared to go the “Malaysia” way in 1963 but hard scenario present tough decisions even after a process called IGC, Cobbold commission, 20/18 points with UN intervention?   In 1963, there were sudden confrontations from the neighbours then and somehow they were ‘weathered’ over 51 years despite the unending challenge. Today, Sabah is still in similar scenario of that unending challenge and life and fear go on hand in hand.

In 1963, there was the Azahari that broke up the intended 5 nations in “Malaysia” and today “Malaysia” can only go wayward bada bing and who is there to seal the final chapter of “Malaysia”?  Would it be DJ?

13.  Conclusion

  An Interim Good Governance Government would be in order to work for an appropriate solution rather than a bada bing for “Malaysia” and no ensuing violence of any sort within and without. We come in peace and we go in peace once and for all.  Fear not what is ahead as it was in 1963.

God bless all.

Joshua Y. C. Kong PM of  IGGG  16 September, 2014   6013-8394513

laughing stock on the number to register for GST...

 extract:Earlier, Treasury Secretary-General Tan Sri Dr Mohd Irwan Serigar said 35,998 companies have registered for the GST with Customs as of yesterday (Sunday) since June this year.

The ministry targets 123,000 companies to register for the GST by year-end.""

 

GST Would Help Secure Malaysia's Future - PM

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.

Najib said the GST is a modern tax which would eliminate the inherent weakness in the current tax.

"For example, the GST has cross checking elements that would increase tax compliance and promote saving and investment," he said.

Prime Minister said that as an important initiative under the Economic Transformation Programme, the GST is a strategic reform aimed at modernising our taxation system to make it more effective, efficient and business-friendly.

Najib reiterated that GST would make businesses more competitive in the global marketplace and they also would benefit from the lower cost of doing business.

"Taxes will be applied fairly among all businesses, making it a more than just tax. Put simply, it would be good for business," he said.

Najib said a lot of measures have been taken to ensure that the rakyat, especially in the lower and middle income groups, would not be burdened by the GST.

"We don't want the GST to have an adverse impact on the rakyat. That is why many goods and services will be exempted, such as water and basic foodstuffs, transportation, education and healthcare services," he said.

Najib also stressed that price gouging would not be tolerated.

The government has strengthened enforcement action through the National Pricing Council and the distribution of a shopper's guide showing prices before and after the GST, and in addition the Price Control and Anti Profiteering Act 2011 would be used against those that break the law.

Najib appealed to all Malaysian companies to avoid the "classic Malaysian syndrome" of last-minute registration.

"The sooner you prepare, especially for the inevitable, the better," he said.

Earlier, Treasury Secretary-General Tan Sri Dr Mohd Irwan Serigar said 35,998 companies have registered for the GST with Customs as of yesterday (Sunday) since June this year.

The ministry targets 123,000 companies to register for the GST by year-end.

--BERNAMA

GST in malaysia is doom to BN/UMNO because of excessive graft.

IMF Gives Thumbs Up To Malaysia's Ongoing Fiscal Reform

KUALA LUMPUR, Sept 15 (Bernama) -- The International Monetary Fund (IMF) has given the thumbs up to Malaysia's ongoing fiscal reform by broadening the tax base with the implementation the Goods and Services Tax (GST) starting April 1, 2015.

Fiscal Affairs Department Adviser, Kiyoshi Nakayama, said this shift of revenue source, from natural resource and corporate income to also include the GST, was a crucial policy direction to maintain Malaysia's long-term fiscal sustainability.

In his presentation at the International Seminar on GST 2014, he said, the growth-friendly tax was less distortive for economic growth compared with income tax.

"The GST, a consumption base tax, will not burden savings and investment, however, its design also matters," he said.

He also commended Malaysia's preparation towards implementing GST, saying that the Finance Ministry and the Royal Malaysian Customs Department's communication strategies of engaging the social media were innovative.

A speaker from the University of Exeter Business School in UK, Associate Professor in Economics, Simon James, said tax on consumption, such as the GST, was likely to cause the least damage compared to other forms of tax.

The GST, known as value-added tax (VAT) in the UK, has increased revenue and improved effectiveness in the large majority of countries that had implemented it.

"It is, in fact, one of the most successful taxes in the UK. Quite remarkably, the increase of VAT rate to 20 per cent in January 2011 from 17.5 per cent previously aroused little protest and resistance as compared to many other tax changes," he said.

The one-day international seminar, organised by the Finance Ministry, gathered experts from around the world to speak on their respective countries' experiences in implementing the tax.

-- BERNAMA

sure to fail and what is next?

see the number below at discrepancies of the companies expected to register and compare this in another event ----Earlier, Treasury Secretary-General Tan Sri Dr Mohd Irwan Serigar said 35,998 companies have registered for the GST with Customs as of yesterday (Sunday) since June this year.

The ministry targets 123,000 companies to register for the GST by year-end.

 

 

More Tax Experts Needed To Volunteer To Train 645,000 SMEs On GST - Wee Ka Siong

KUALA LUMPUR, Sept 14 (Bernama) -- There is a need for more tax experts to volunteer their services to train some 645,000 Malaysian Small and Medium Enterprises (SMEs) in the Goods and Services Tax (GST) implementation, said Minister in the Prime Minister's Department, Datuk Dr Wee Ka Siong.

He said some GST consultants had been known to charge as high as RM300,000 for a total GST package which includes registration, training and adapting or upgrading to GST-friendly tax systems to comply with the GST.

Smaller accounting firms had also charged between RM1,500 and RM8,000 for their services per day to help companies register for the GST, he said.

"These high fees reflect a shortage of service providers able to help companies ease into the GST compliance," he said in a statement here today.

According to Wee, he had received encouraging feedback that many companies have agreed to register for the GST to help the Government meets its financial targets and reducing public debt.

However, some concerns were conveyed to him as Minister in charge of SMEs development.

Wee opened the GST seminar on Sunday titled "Leading SMEs towards the GST Era" organised by the SME Association of Malaysia (SMEA).

Talks presented to hundreds of business owners in the audience were given by the Ministry of Finance and Royal Malaysian Customs Department.

To date, Wee said that out of 300,000 companies with annual turnover of at least RM500,000 that must compulsorily register for GST by the April 1, 2015 due date, only about 32,000 or some 11 per cent had done so.

Therefore, he urged companies to register quickly to speed up the GST implementation for the nation's best interests.

"It is best for the SMEs to look out for talks and seminars such as the one by SMEA which also gives free counselling and assistance in getting registered for the GST.

"These talks are also supported by the Government so that businesses receive correct, up-to-date information," he said.

Wee also assured that he would also bring up to the relevant authorities a proposal by the SMEA to further simplify GST registration.

It includes abolishing the need to register twice in order to receive the e-voucher for companies to implement GST-friendly tax systems.

"I agree with the SMEs that this is because the Government already possesses the relevant details of the registering company," he said.

-- BERNAMA

Something is amiss in this sector for refund of GST.

Something is amiss in this sector. Joshua

GST Could Help Attract More Tourists

By Erda Khursyiah Basir

KUALA LUMPUR, (Bernama) -- The Tourist Refund Scheme (TRS) under the Goods and Services Tax (GST) to be introduced in April 2015 can contribute to greater number of tourist arrivals.

The Dean of the Hotel Management and Tourism Faculty at Universiti Teknologi MARA (UiTM) in Shah Alam Assoc Prof Dr Mohamad Abdullah Hemdi opined that as TRS allowed tourists to reclaim the GST paid, they would not curtail on their spending during their stay in the country.

"TRS is only applicable for the goods taken out of Malaysia by the tourist and does not apply on services or products paid for and utilised in Malaysia including hotel and food bills, and etc.

"Tourists should ensure the tax invoice is handed over with the purchase receipt to support the refund process. This scheme, however, is only applicable for tourists who use air transport and have spent a minimum of RM300 including of taxes at approved outlets," he told BERNAMA.

BEING COMPETITIVE

According to the Royal Malaysian Customs GST Division Deputy Director, Tan Sim Kiat, the department is now in the process of choosing the TRS agents, who were responsible in identifying the outlets to refund the tax to the tourists.

The agents would identify the outlets to establish partnerships before GST is implemented on April 1, 2015.

"After the outlets are identified, the visitors could head to the respective outlets to buy duty free goods. When they buy the duty free goods to take back with them, they can reclaim the taxes, that will be refunded by the TRS agent," he said when met at the 2014 National GST Conference, in July.

Mohamad Abdullah said zero rated goods (after the TRS) would make Malaysian goods more competitive at the global stage.

The tax rebate promotion for tourists and an efficient tax reclaim process will help make Malaysia a shopping destination and draw more tourists.

"GST will help reduce costs in conducting business in Malaysia and at the same time will enhance the competitiveness of the country's tourism sector.

"Though the GST rate of six percent in Malaysia is reasonable, we should not forget our neighbours who may try to enhance their competitiveness by bringing down the tax rate in drawing visitors to their respective countries," he said.

THE RATES STREAMLINED

An international business management lecturer at Universiti Utara Malaysia Prof Dr Mohamad Hanapi Mohamad said in Europe, visitors were allowed to reclaim their Value Added Tax (VAT) on their purchases and local services.

Therefore, he opined that TRS could be implemented effectively if all purchases were done with receipts and invoices that state the VAT of GST rates.

Speaking of the GST rates in Malaysia, Mohamad Abdullah said the six percent is the lowest among the ASEAN nations and it could drive the nation towards greater competitiveness.

Nonetheless, he admitted that the rates could affect the tour operators' costing, when the additional costs were transferred to the tourists thus pushing up the price of tourism services.

"However, there is also a likelihood that the GST cost could be absorbed by tour operators so that they could compete," he said adding that the tourism industry is highly sensitive to pricing wars.

THE INDUSTRY STAKEHOLDERS

Touching on ways to draw more tourists after the GST comes into force, he said the main thing that one has to ensure is that the tour operators avoid raising prices indiscriminately on the pretext of GST.

He said the accurate information and a transparent and an effective GST management would provide a helping hand for the industry.

The Ministry of Tourism and Culture, he said should cooperate with the GST Monitoring Committee to ensure tour industry players avoid manipulating tourists with wrong information on GST.

"I support the government's effort of establishing the GST Monitoring Committee in ensuring GST implementation. The committee should ensure the policies, laws and guidelines relating to GST are sufficient and should monitor the implementation by the respective agencies," he said.

--BERNAMA

Reveal 85 GST-exempted items, gov't urged

Reveal 85 GST-exempted items, gov't urged


The government must list all 85 items that will be exempted in the impending Goods and Services Tax (GST) with immediate effect so that the implementation of the new tax system is transparent, Solidariti Anak Muda Malaysia (SAMM) said today.

http://www.malaysiakini.com/news/274591

some good reflections

1.                   Impact of GST to Sabah is Got Sabah Trap leading to Got Sabah Tragedy!!!

2.                    Impact of GST to Malaysia is Government Self Trap or Government Self Tragedy.

3.   With GST, it is a whole different approach to do business with possible adverse impact arising from withheld consumers spending for an initial period that is enough to tilt the trend towards business closure resulting in decline in earning and many more become jobless.

4.The immediate challenge for various businesses is the hurdle to register or not to register or face the hefty penalty hence it is both costly to register or otherwise in various practical scenarios. 

5.So have anyone done a fully researched paper on how GST at various rates impacting Malaysia vis-à-vis Sabah

6.The minimum wages for basic workers to survive depending on the rates of GST?

6.1If wages need to be increased, how much would be sufficient?

7.The level of prices increases especially for the essential items depending on the GST rates?

8.Would fuel attract GST?  If so how would this impact the economy as rural Sabah would be hard hit?

9. Would houses attract GST and if so how the prices go up especially those houses under construction when all raw materials would go up in price too?
10. While GST inputs and outputs would be offset in a two or three month cycles, how would such cycles affect the cash flows of the businesses?
11. At the moment, Government Service tax collected in Sabah is retained in Sabah and would GST be retained in Sabah and if so how much would likely be retained in Sabah possibly to bring reliefs to some sectors?
12. If GST collected in Sabah is retained in Sabah, would there be a restriction that such increased amount be disallowed to be applied for development projects unrelated to trade for matching purpose?
13. If GST is implemented, all existing taxation like corporate and income taxes would be adjusted downwards and how would this be addressed with the initial burden of GST?
14. It maybe inevitable that black market would thrive once GST is implemented and is there any acceptable level before the disruption bites into the economy?

15. Corruption for the implementation agency can be a factor and is there any provision for this to be thwarted?

16. For Sabah is there a model for GST given the prevailing economic indicators at various rates of GST in the context of productivity and consumption and the level of risks that the economy can be adversely affected with hardship for most people especially Sabah people are already finding it hard.  If there is no model done, then Sabah should not see GST in the immediate future.

17. Do we have certain specific GST schemes for certain businesses like sundry shops, secondhand car dealers, contractors/sub contractors with Government agencies?  Too costly and troublesome to issue bills for each sale for the output tax like restaurants and supermarket/minimarket.

18. How would the 6% impact the Malaysian budget in 2015 and beyond as Government and its agencies are also consumers?

19. GST collection and debts?  Not all invoices are collected in time to file the GST returns and some may turn out to be bad debts.  How do the registered companies concerned account for this?

20. Manual system is allowed but the Government always emphasis electronic system to do filing.  Manual system would give the marginal companies over the threshold some confidence in terms of costs and management capacity.

21. In the uncertainty of entry of GST, it is up to the business communities to re-invent themselves to be competitive in a range of approaches, with the threshold and the penalties in mind.  Is it worth the costs to get registered and in preparedness to be the collector of GST when the level of business post GST is uncertain.

I can offer some good professional service as I had the hand-on experience when Great Britain first introduced VAT in the early 1970s.   Joshua Kong 6013-8394513

so far about 500 companies registered with GST

BERNAMA › NEWs

More Than 3,000 Expected To Attend GST Information Programme Next Week

KUALA LUMPUR, Sept 3 (Bernama) -- Over 3,000 participants are expected to attend the National Goods and Services Tax (GST) Information Programme, which will be launched by Prime Minister Datuk Seri Najib Tun Razak at the Putra World Trade Centre on Sept 10.
Deputy Finance Minister, Datuk Ahmad Maslan, said the programme participants would include those from government-linked companies, government agencies, Barisan Nasional component party leaders, representatives from non-governmental organisations, youth representatives and students.
"Najib will give his keynote address and explain the GST in relation to the economy in general," he said at a media briefing after giving a briefing on GST at Universiti Teknology Mara here today.
Ahmad Mazlan said he and the Royal Malaysian Customes Department head, Datuk Seri Khazali Ahmad, would also participate in the forum as panel members.
Meanwhile, at another function, Ahmad Maslan said companies which had yet to register for GST scheme were advised to do so fast as the government would not postpone its implementation.
He said the Finance Ministry expected 2,000 firms to register for the GST scheme a day, from between 1,000 and 1,400 a day previously.
"As of Sept 2, a total of 24,429 companies had already registered for GST," he told a media briefing after addressing key GST issues to tenants, entrepreneurs, biopreneurs and business associates at Technology Park Malaysia Corp Sdn Bhd (TPM), Bukit Jalil.
TPM has also arranged special registration counters manned by officers from the Customes Department for qualified businesses to register on the spot.
TPM chairman, Datuk Nasarudin Hashim, said the initiative of TPM was to assist the government in creating greater GST awareness among its community.
He said since its inception, TPM has contributed about RM6.5 billion to the economic development of the country, accounting for about 1.2 per cent of the gross domestic product.
-- BERNAMA

16. Syed Mokhtar

Story behind Syed Mokhtar’s ‘RM2.25 billion tax-exempt’ Bernas deal revealed, says PKR MP

 

Published: 15 June 2014

Ismail Sabri had revealed in Parliament last week that the duty on rice imported from 2008 to last year was waived, in a move alleged to benefit tycoon Syed Mokhtar Albukhary. - The Malaysian Insider pic, June 15, 2014.An innocuous written reply in Parliament has provided a peek into the cosy relationship between the Najib administration and Malaysia's best-known businessman, Tan Sri Syed Mokhtar Al-Bukhary.
The Parliament learnt that Putrajaya accepted a personal letter from the businessman as a guarantee he would look after the national interests of rice in Malaysia.
Putrajaya also waived RM2.25 billion worth of duty on rice imported between 2008 and 2013 by Bernas, according to PKR Alor Star MP Gooi Hsiao Leung.

Gooi said Agriculture and Agro-based Minister Datuk Seri Ismail Sabri Yaakob made this revelation in Parliament in a reply to his question last week. "The latest figures provided by the United States indicates that Malaysia's rice imports for this year will increase by 24% or 1.1 million tonnes."
"This means that tycoon Tan Sri Syed Mokhtar Al-Bukhary will continue to reap huge profits through his control of Bernas," Gooi said in a statement.
Padiberas Nasional Berhad (Bernas) holds the monopoly on rice imports and is exempt from paying import duty on rice.
Following a concession agreement signed with Putrajaya in 2011, Bernas extended its sole national importer status for rice until 2021.
Gooi said Bernas was a strategic national asset tasked with the responsibility of protecting the interests of rice farmers and consumers.
"It was a gross breach of public interest to have allowed Syed Mokhtar to delist Bernas based on a legally worthless private letter," he said, referring to a letter written by Syed Mokhtar, which was disclosed by Ismail in Parliament on March 23.
In the letter, Syed Mokhtar gave his personal undertaking that he would guarantee the national interests of rice in Malaysia.
In the relisting of Bernas, 10% shares of Bernas IPO will be allotted to Putrajaya for the National Farmers Association (Nafas) and the National Fisherman Association (Nekmat).
Syed Mokhtar also pledged annual contributions to the welfare programmes of Nafas and Nekmat for five years or until the relisting exercise of Bernas was completed.
Pouring cold water on Syed Mokhtar's undertakings, Gooi claimed the letter was not legally enforceable nor binding on Bernas.
"This is because Syed Mokhtar is not a party to the concession agreement signed between Bernas and Putrajaya.
"The letter also does not state any deadline or time frame for the relisting of Bernas. So will it take five years? 10 years?" he said.
Gooi pointed out that with no definite date for relisting, Bernas would not be subject to public scrutiny or the supervision of Bursa Malaysia.
"Putrajaya's actions in the way they have allowed Bernas to be delisted is tantamount to unmatched cronyism," he claimed. – June 15, 2014.

 

15. 950 items

950 items under GST

Published on: Friday, August 15, 2014

Kota Kinabalu: The Consumer Price Index (CPI) in the country is expected to temporarily increase by 1.48 per cent of the inflation rate following the introduction of the Goods and Services Tax (GST) next year.
Deputy Finance Minister Datuk Ahmad Maslan said, however, the ministry projected that CPI will stabilise after a few months.
"This projection is based on our studies in other countries that have already implemented GST or Value Added Tax (VAT) as it is called in other countries. In countries like Canada, Singapore and Australia, CPI increased for the first quarter after it was introduced.
"But after it reached a certain level, CPI went down again," he said during a talk on GST at the Sabah Federal Civil Service Assembly, here, Thursday.
He also reiterated the fact that essential goods such as basic food, piped water and the first 200 units of electricity consumption to domestic consumers are zero-rated.
Other items which will be zero-rated under Malaysia's GST include sea produce, meat, poultry, education and healthcare.
"This is Malaysia-style GST. We do not want to burden the people," said Ahmad.
There are 950 items which will be taxed under the GST. The impact on prices will vary with some items will be cheaper, some will stay the same while others will be more expensive.
"For example, furniture. Actually, furniture prices will go down because right now, they are paying 10 per cent tax and after GST, they will only have to pay six per cent.
"But people are using GST to market their products. I have seen a big banner outside a furniture shop, 'Buy Now Before GST'. I told my men to ask the owner to take the banner down because it is a bad marketing and dishonest," he said.
The Government, through its agencies like the Customs Department and Ministry of Domestic Trade, Cooperatives and Consumerism (KPDNKK), will be monitoring the situation closely in the days following the implementation of GST and will arrest those who intentionally raised the prices of their goods without valid reasons.
Ahmad said the Government guaranteed that prices of items such as rice and sugar will not increase after GST and the number of enforcement officers in the Customs Department and KPDNKK will be increased to ensure anti-profiteering laws are followed.
He also addressed concerns by some quarters in Sabah and Sarawak who said that State governments will lose out in terms of monetary gains following the introduction of GST.
"I have been asked about this by policy makers from both states actually.
To clear up the matter, state governments can continue to collect taxes. In fact, there are only two taxes involved - the Crude Palm Oil (CPO) and entertainment duty.
"Even after GST is implemented, both of these taxes will be continued," he explained.
The Government, he added, will not delay in its plan to implement GST next year and advised the people to stop asking about postponing it.
"I know, the Government always give opportunities for the people when it comes to implementing any policy. We delay giving compounds, we extend the period for BR1M.
"But I assure you, the Government will not delay the implementation of GST which will be on April 1 next year," he warned.
Therefore, he continued, business owners who make RM500,000 or more in annual sales must register their companies before the deadline on Dec 31 this year or risk being compounded.
Registration can be made online and takes only a few minutes at the ministry's website at http://www.treasury.gov.my.
All the information, said Ahmad, can be found at the website and the government will not hesitate to fine those who failed to adhere to the laws.
"Ignorance cannot be an excuse. All information is at your fingertips.
If you said your company does not have Internet, I think that is too bad.
What kind of company do you have anyway?" he said.

14. A horse behind the cart- as usual

Who are the advisors to the half past 6?  Joshua

 

Muhyiddin Announces Special Committee To Tackle Living Cost

PUTRAJAYA, Jan 15 (Bernama) -- Deputy Prime Minister Tan Sri Muhyiddin Yassin on Wednesday announced the formation of a Special Committee To Tackle The Cost of Living, chaired by him, to handle issues on the rising cost of living and goods in an integrated manner.

He said the setting up of the committee was an extension of the National Key Result Area (NKRA) on Tackling The Cost of Living, whose scope and functions had been widened, which was decided at the Cabinet Meeting on Jan 8.

He said that among the roles of the committee was to coordinate the policies and programmes of the various ministries and agencies involved in easing the burden of the people.

He said it would also collaborate with the Fiscal Policy Committee chaired by Prime Minister Datuk Seri Najib Tun Razak, particularly in scrutinising the government's taxation policy and subsidy rationalisation.

"The outcome of the study would be announced to the public through the various media to facilitate the people in making comparisons and to understand the actual reality on the price increase," he said at a media conference at the meeting room of his office.

Muhyiddin said this included the study on rising prices which were not linked to fiscal consolidation measures, but was due to the issue on the market structure, including the supply issue and the marketing system.

He said the committee would also implement sectoral studies on the actual effects of the rising cost of inputs on the increase in prices of essential goods and subsequently to make a logical and appropriate projection of the increased prices.

He said the committee would also engage the consumers associations and representatives of the business sector as well as non-governmental organisations that were related to the supply of goods and services as well as other factors that determined the prices of goods.

Muhyiddin said the Ministry of Domestic Trade, Cooperatives and Consumerism (KPDNKK) would act as the Secretariat and steering committee, while the other ministries and relevant agencies such as the Ministry of Agriculture and

Agro-based Industry, Ministry of Transport and so on would be appointed as members.

Meanwhile, the Deputy Prime Minister said the government also decided to create a special laboratory for two weeks beginning today to study measures to ease the burden of the people.

It also had the role of carrying out a holistic study, fiscal consolidation needed to ensure that the people were not burdened, as well as the type of aid that could be channelled to the people.

"Besides representatives of the relevant ministries and agencies, other members of the laboratory are representatives of the consumers associations, the industry, academicians, students and so on who would provide inputs and their opinions in tackling the cost of living," he said.

Meanwhile, Muhyiddin said the enforcement of the Price Control and Anti-Profiteering Act would be enhanced to take more effective action on traders who took the opportunity to raise prices indiscriminately.

In addition, he said other measures that were being planned were efforts to promote or relaunch the Kedai Rakyat 1Malaysia concept, Sarapan 1Malaysia menu, besides increasing the frequency of getting on the ground for every ministry.

"At the moment, the Ministry of Domestic Trade, Cooperatives and Consumerism is tabling a report to the cabinet on all aspects of the prices of goods," he said.

-- BERNAMA