Don’t burden citizens with new tax systems

by | Sep 29, 2021 | NEWS | 0 comments

Malaysian economist said that the government can implement new taxes to fund the RM 400 billion allocations under the 12th Malaysia Plan.

However, the suggestion is not a popular choice among its citizens as it may turn out to be a burden hanging over till 2025.

Middle-class earners reject the idea as additional taxes allegedly do not benefit them, instead, it only helps the rich become richer.

The minority group has also sounded their concern as the taxes are funding a specific community more.

Recently, the government has introduced several Bumiputera-centric laws that are seen as unfair. Irrespective of race and religion, all citizens are required to pay their taxes to the government.

But when it comes to being supported by the government, the priority is set to be on the bumiputeras.

RHB Research senior economist Ahmad Nazmi Idrus was caught off guard with the ‘exceptionally high’ RM 400 billion.

He said, “There is still potential for the government to roll out other taxes, even as the 12MP did not make mention of such new taxes.”

Malaysians are reluctant for governments to take shortcuts with taxation for extra revenue.

Lisa Chong said, “Instead of thinking ways to make more money through investments and unbiased policies, they want to take the easy way out by taxing others hard earn money.”

She added that under the current pandemic, the most feasible way is to reduce expenditure and maintain the current tax structure to promote economic activities.