SIBU: Deputy Minister for Public Health, Housing, and Local Government, Datuk Michael Tiang Ming Tee, has urged the federal government to reconsider the reintroduction of the Goods and Services Tax (GST).
The Pelawan assemblyman said that GST offers a broader tax framework compared to the Sales and Service Tax (SST).
“SST currently contributes 11 per cent to the national economy, whereas GST could generate higher revenue. I advocate for the federal government to reintroduce GST, commencing with a tax rate of 3 to 4 per cent,” he said.
Tiang said this when met by reporters following his participation in a seminar on SST organised by Village Development and Security Committee (JKKK) Merdeka and Meritam at Methodist Pilley Institute here today (March 30).
He emphasised the necessity for the federal government to allocate funds to Sarawak for development purposes, notwithstanding the state’s impressive revenue of RM13 billion last year.
“We all contribute taxes to the federal government, thereby necessitating its responsibility to allocate the required budget for Sarawak’s development.
“Despite Sarawak’s financial prosperity, it’s imperative for the federal government to provide the necessary funding for further infrastructure enhancements and improvements in our standard of living,” he elaborated.
He underscored the importance of financial strength within the government to effectively cater to the needs of its citizens.
“I am disheartened by the taunts from certain opposition leaders, insinuating that while the Sarawak government thrives, its citizens languish in poverty.
“But I pose a question to them—if the government and its people suffer financial deprivation akin to that of Malaysia, what good does that serve? It is only when Sarawak prospers that the government can adequately address the needs of its people,” he added.
Tiang also stressed on the substantial healthcare expenditure incurred by the state government during the COVID-19 pandemic, amounting to over RM5 billion.
“Upon their return from overseas, Sarawakians were quarantined at the government’s expense. This was made possible due to Sarawak’s financial stability.
“The state government has undertaken significant infrastructure projects, such as road and bridge construction, independently funded.
“Although Sarawakians do not pay taxes directly to the state government, it has assumed responsibility for these projects,” he added.