Forget GST. Refine SST. Aim for a Single Rate

Is the return of GST really the silver bullet for Malaysia's fiscal deficit and cascading business costs? Dr. Veerinderjeet Singh, Senior Advisor on Tax Policy at KPMG in Malaysia, debunks GST & SST myths.

Learn More About:

• The RM50+ Billion Math: Why reintroducing GST at a low 3% or 4% rate is "suicide" for the fiscal deficit, and how the expanded SST is already outperforming historical GST revenues.

• The GST Breakdown: Why the 2015 GST implementation failed, from crippling government refund delays to intense political pushback.

• Solving the Cascading Tax: How the current SST relies on targeted B2B exemptions to prevent the "tax-on-tax" compounding effect across the manufacturing supply chain, and why enforcing it is still a work in progress.

• Exemptions vs. Refunds: Why the current SST's reliance on business exemptions is operationally superior to the GST's cash-draining refund mechanism.

• The E-Invoicing Evolution: How the ongoing rollout of e-invoicing will effectively replicate the auditable paper trail that made GST so appealing to authorities.

• The Ultimate Tax Road Map: Dr. Veerinderjeet’s proposal to merge the currently separate Sales Tax and Service Tax acts into a single, aligned-rate legislation to ensure policy continuity for the corporate sector.

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