At varsity GST forum, students flay government rep
KUALA LUMPUR, March 11 ― An Umno Youth leader took
heavy fire by University Malaya students at a public
forum on the goods and services tax (GST) here last
night, an apparent sign that Putrajaya's media blitz
to justify the new tax has failed to yield the
desired results just weeks before its
implementation.
Many students at the forum appeared unconvinced by
the explanation given by Umno Youth's GST task force
member Lokman Noor Adam who was bombarded with tough
questions and cynical jeers from the floor as he
tried to explain Putrajaya's reasons for introducing
the consumption tax on April 1.
“If you say the government is trying to save money,
then why are they awarding contracts to Bumiputera
who charge higher prices for the tender when there
are cheaper options? It doesn't make sense,” one
student pointed out. |
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“And when you say you want
to try and save money, and that's why we have GST, are
you also cutting down on the prime minister's utility
bills and such? Shouldn't he be paying for it himself?”
the student added.
During his presentation,
Lokman insisted that the GST was necessary to tackle the
government's growing deficit and increase its revenue
base.
The former PKR youth leader also claimed
that the new tax scheme would boost the government’s
revenue collection.
He said Putrajaya stands to
gain RM23 billion for 2015 and RM33 billion beginning
2016, adding that the increased revenue would open up
the government’s purse on public spending, which would
benefit the people.
But the students remained
sceptical; one claimed the government’s push to roll out
the GST suggested it was really “desperate for money”.
“I don't know… it just seems to me that the government
really wants to tax everyone because they are so eager
about it. It's like they are desperate for our money,”
the student said.
Lokman did not address the
question but maintained that Putrajaya's revision of
Budget 2015 included a cut in operating expenditures.
He also maintained that the GST was necessary because of
Malaysia's mounting deficit which, was among others,
caused by maintaining subsidies on basic goods like fuel
and food.
He also said the subsidies were proof that the
government was only interested in helping the people,
unlike what was claimed by the opposition.
“We didn't have that much money because we had to spend
RM20 billion yearly on subsidies… it is not true that we
do not want to help the people,” he said.
But PKR vice-president Rafizi Ramli who was also on the
forum panel, scoffed at Lokman for echoing the
government’s explanation, saying it showed a top-down
mentality.
“Lokman, when you said the subsidies the government
give, the book vouchers the government gives, you must
never forget that all that come from the people's money,
from the tax they pay.
“So don't ever tell these students to be grateful
because these things are rightfully theirs,” Rafizi
said, to loud applause.
Earlier during the debate the federal opposition
lawmaker claimed that Lokman and the BN government had
still to provide concrete “moral justification” to
introduce GST at a time when living costs were sky high.
The Pakatan Rakyat opposition bloc has been opposing the
implementation of the consumption tax when most
taxpayers were facing austerity on the grounds that
while the tax would be beneficial, now was not the right
time to push it out.
The opposition pact claimed Putrajaya wanted the GST to
offset the billions of ringgit in losses incurred
through leakages and corruption annually, insisting that
the new tax is necessary if the government was more
prudent with taxpayers’ monies.
Since announcing the GST last year, the Najib
administration immediately launch a public relations
campaign to explain the new tax system in a bid to
contain a public backlash.
A survey done by Malay Mail Online found that the public
remain nescient about how the tax works and majority are
still skeptical that prices of goods would remain
relatively low despite the government's repeated
assurance that inflation is expected to stabilize after
the first year of GST.
Source:::
Malay Mail Online , dated 11/03/2015......... |