Anwar: Govt open to study integrating GST elements into SST

Prime Minister Datuk Seri Anwar Ibrahim stated that the government is open to examining the integration of Sales and Services Tax (SST) with the Goods and Services Tax (GST) to enhance the country's taxation system and make it more progressive. However, the government has affirmed that it will continue to use the SST as the foundation of the present taxation system.

Anwar expressed concerns about introducing GST alone, as it would require taxpayers who have never paid taxes before to do so, potentially becoming a financial burden for individuals amidst rising living costs. The Prime Minister suggested that minor adjustments could be made to the SST base if necessary.

During a 2027 federal budget engagement at the finance ministry, Anwar, who serves as both the Finance Minister and the Prime Minister, did not disclose specific plans for the M40 group in the upcoming budget. However, he highlighted several priorities aimed at alleviating financial strain on this particular group.

Furthermore, Anwar addressed the ongoing investigation into the Royal Commission of Inquiry (RCI) report on Tabung Haji (TH). He emphasized that the inquiry is not restricted to a predetermined timeframe, and there are no barriers preventing enforcement agencies from conducting investigations beyond the scope of the RCI report, originally covering the period from 2014 to 2020.

UMNO Supreme Council member, Dr Ahmad Maslan, had previously urged the government to extend the RCI report's coverage from 2021 to 2026, arguing that the sale and purchase of TH assets also took place during this extended period.