{
  "id": 5719104,
  "title": "Kepong MP challenges government over proposed hybrid SST-GST model",
  "url": "https://urgent.news/2026/09/05/kepong-mp-challenges-government-over-proposed-hybrid-sst-gst-model",
  "topic": "world",
  "section": "World",
  "published": "2026-09-05T04:45:00.000Z",
  "source": {
    "name": "The Vibes",
    "slug": "the-vibes",
    "url": "https://www.thevibes.com/articles/news/126976/kepong-mp-challenges-government-over-proposed-hybrid-sst-gst-model"
  },
  "original_language": "en",
  "account": "Kepong MP Lim Lip Eng has criticized the Malaysian government's proposal to combine the existing Sales and Service Tax (SST) with elements of the Goods and Services Tax (GST). Lim argues that this hybrid model could introduce greater complexity and effectively reintroduce GST indirectly. He questions why the government cannot simply redesign and reinstate GST if its mechanisms are needed to improve SST. Lim points out that 176 countries have adopted GST, whereas Malaysia's SST model is unique internationally. He also notes that no country is currently using the hybrid SST-GST model being proposed by Malaysia, raising concerns about its practicality. Lim explains that allowing businesses to claim refunds for taxes already paid will require the government to introduce more detailed rules governing deductions, refunds, and other tax matters. He questions whether the government is genuinely improving SST or merely going through a lengthy and complicated process of reintroducing GST features. Lim calls for greater transparency over the government's projected SST revenue of RM59.6 billion in 2026 and asks for clear figures regarding how much would be retained by businesses, how much would be refunded, and how long refunds would take to process. He also inquires about how much revenue the government would collect, which industries would face additional taxation, and the additional administrative costs businesses would have to bear. Lim emphasizes that what matters most is whether the system is effective, rather than the name of the tax. He urges the government to consider directly restoring a comprehensive GST if they believe that adding more GST features will solve the problems of SST, while also strengthening supervision, speeding up tax refunds, and protecting low-income groups. Lim concludes by cautioning against creating a more complicated tax system simply to avoid using the term \"GST,\" stating that if GST is indeed more effective, it should be brought back.",
  "summary": "THE Government’s proposal to combine the existing Sales and Service Tax (SST) with elements of the Goods and Services Tax (GST) has come under fire from DAP’s Kepong MP Lim Lip Eng, who questioned why GST should not simply be redesigned and reinstate...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}