GST Implementation in Malaysia

by Sally Wong

On the 1st of April 2015, Malaysia went live with its Goods and Services Tax (GST) implementation throughout the country. The GST is generally looked upon by the public as something detrimental to the well-being of the people although on the same note many do agree that it is good for the country. The government on the other hand have faced tremendous amount of criticism over how it went about implementing the GST policies.

GST is one of the most popular taxation systems in the world having been adopted by over 150 countries. This taxation method is deemed to be the most fair as it is based on consumption and only applies to those who can afford such products or services. Most of the essential goods and services such as basic food items, education, transport and more are either zero rated or exempted from the tax and as such the poor and the economically challenged groups would not be affected so much by it.