We are told that the government is introducing a Goods and Services Tax (GST) to broaden its tax base. Low-income Malaysians and migrant workers will soon have to pay this indirect form of taxation on consumption whereas previously they were exempted from tax.
Obviously, the government is operating under tight budgetary constraints – and these have even affected essential services such as education. Check out the impact here and here.
Ordinary Malaysians are feeling the pinch as the government tries to narrow its yawning fiscal deficit.
One wonders what these low-income folks will make of Najib’s announcement of the immediate abolition of import duty on all golf buggies. The cost of a golf buggy will now drop to RM23,000 from RM34,000. No doubt they will be comforted to know that green trimmers and lawnmowers will now be cheaper as well.
The move is expected to benefit some 200 golf courses in the country. What a caring government.
While low-income folks will soon have to pay GST, corporations and better off Malaysians could soon end up paying lower direct taxes (corporate and income tax). No prizes for predicting the impact this will have on income disparities.
People first, performance now. It’s just par for the course.
Related posts:
This government will never change! It only takes care of those in the upper echelon of society, and makes use of the ordinary people, especially the Malays in the kampungs. This will also fail, as you can see the huge numbers of Malays attending PR ceramahs of PR, and they are going to play a significant role come the GE when they return to their kampungs!
While education budgets are affected by the tight budgets, caused mainly through corruption, bad governance and mismanagement of funds, the import duties for golf buggies are reduced! This is the type of Government we have! Children in the rural areas, will have their food, uniforms and necessities reduced to compensate those who play golf! Just how long will the Malays in the rural areas take it? Just how long will they continue to play the role of fools? Just wipe UMNO/BN out come the next GE!
No money then need to tighten the budget. Income from GST will normalize the budget. By the way, I’m against the GST. But can we have another way ???
Is this to cheer up the Johor MB?…
No Golf courses how to discuss “private black money business ventures”…which cater for Elite Politicians mainly indulged in…always followed by a 19th hole for these keen golfers.
Golfing is big time business in Bolehland….
You must watch too many conspiracy movie.
I love your title. It has a Marie Antoinette ring to it,’ Qu’ils mangent de la brioche.’
Thanks. That was the idea
Well well our PM Najib is ecnouraging all of you to play golf. Gerakan K, PM is asking you to play a round of golf too. How about that. You could improve your handicap drastically. So sorry we can`t join you. With the GST & escalating cost of living looming over our head, food on our table is more important. Maybe PM Najib thought that the golf ball are special eggs that could make us full. Sorry we could see through that Mr. PM. Najib
No problem Yang,
you can play football, badminton…
We DO remember what happened to the frivolous Marie Antoinette and her husband, no? Not that modern day Malaysians will resort to the physical harm that befell the two, but still, there is the fall from power…
I too shook my head at that somehow Najib’s givernment deemed it necessary and proper to remove the tax on golf buggies and such.
At a time when the long-suffering rakyat are facing the dreaded GST, and possibly toll and TNB rate hikes. And a whole lot of issues like the Ketuanan-fanning Perkasa gang, the lop-sided police action against Pakatan, Syariah caning of Muslim women and the just-settled but still painful Al-Islam desecration of a church, anongst others.
Nothing more important to deal with meh?
Ha!Ha!Well done Najib your government is truly caring.
dear anil,
i support dsai and pakatan and golf is a great
game.cheaper buggies means cheaper rental of buggy
which means cheaper cost to play golf which means
more koreans n japanese will pour money to train and
play here.they can train here for 6mths during fall
winter and early spring.that is a lot of hospitality
jobs for us local.
more exposure to the game will inspire our kids
to play and maybe a vijay or tiger to rise from here.
a US Open champion from Malaysia will put Malaysia
in the sporting nation that is watched by 1 billion
people all over the world.That is free advertising.
cheaper buggy is key.
a golf course typically employ 300 staff that looks after 4 family members.per golf course therefore looks after 1200 people.200 golf courses
indirectly looks after 240,000 people save the golf
pro shop all over the country.
lets encourage golf industry.it is ok to reform
but it is also ok to do big business.after all,if
200 golf course buys 10 new buggie each,its only
additional 2000 buggies which means only savings of
rgt20mil.
3000 koreans play golf here everyday and if we
can increase that to 5000 and each spending rgt 100,
that is rgt50,000 a day.we cover the rgt20mil in a
minute while giving jobs and well being to 240,000
malaysians,save a Malaysian Tiger Woods and free advert!
jo
Hello blog owner,
your bias statement:
——————————-
“While low-income folks will soon have to pay GST…”
——————————-
GST for everyone.
What I meant was low-income Malaysians are currently exempted from income tax but they will now have to pay tax via GST.
Yet another sucidal policy by Najib to grant tax exemption for golf buggies. These are the people who will not even feel it if the import duty were to be increased further and yet Najib abolishes it! He is out to screw the ordinary people.
Yes and lets (vote) him out in the next GE this uncaring PM
m no najib fan but that is not well meaning.business is about sales minus cost of goods sold.any reduction of cogs will assist towards growth of any
industry.it encourages for better delivery of service
and bring more opportunity for the nation’s job
seekers.
suicidal policies are if they tax 300 percent for
the buggies.then the fees will be exorbitant and
no one will play golf here and therefore no golf
courses,no jobs,no tourist dollar,no businessman
here as they will choose those with golf courses..
hmm! How can more workers in the golf courses help alaysia be a high income country? It just create jobs for more imported cheap labour. Would any of our 50,000 unemployed graduates want a job there?
our graduates will benefit greatly.you will learn from selling memberships(commission!)to learning about the game.you get to play after hours and maybe master the game.you meet senior decision makers and
business owners there.you learn and you never stop.
at the end of the day,reform is about the betterment
of your ownself.start at a golf course.it is from there that you can be all that you can be.
Nice title Anil – that’s a hole in one!
Gerakan K
This tax GST is meant to screw ordinary folks who are already struggling to make both ends meet. On the other hand, it lower the taxes for those earning in the higher brackets and business to claim back on the GST. In case you are too ignorant to understand, I suggest you ask some of your Aussie friends how this tax was implemented and who benefited the most from it.
This is almost and indirect way to take from the poor and giving it to the rich (in the form of reducing their personal taxes)…too hard for you to understand…hollow head!
Let everyone contributed to our nation. Oops, to my nation. The real concern here is how the government of the day manages our public money.
Wow, since when did you say public money? I thought you said “Thank the BN gov’t” the other day. So, now you know the money comes from us, the rakyat. Thus, they screw our money, we’ll kick them out. Simple as that. Besides, we already lost billions of our public money anyway for enriching cronies and wasteful projects.
Thus, I am determined to give PR a chance to helm the federal gov’t for once. Let’s see how they handle the rakyats’ money. If they screw it as well, we’ll vote them out again.
BN Government is the decision maker to spend the money. Do you ever fight with your boss / account department that bank in your salary ??? I guess no one will do that unless wanted to invite unnecessary delay of getting the salary.
Eh, that’s our salary ok?! You think the bosses have the right to withhold one’s salary aa? It’s morally and ethically wrong to withhold one’s salary.
Say I’m your boss, and I withhold your salary for no specific reason. Of course you’ll sue me right?
Of course you can fight, but no bonus in year end and you can forget about any promotion / pay increase in the future.
Be practical in this practical world.
Najib must be truly caring; maybe he intends to park his Rosmah at the golf course more often. Poor woman she struggles even to walk!
Guess who’s not getting my vote in the next GE? But then again, since I was old enough to vote, I never voted for morons.
Not forgetting the impact of golf courses on the environment … and the vast amounts of water needed for golf courses.
Yes, good point!
Even as a fervent capitalist, free marketeer and golfer, I have to agree with you, this is dumb. Does reducing golf cart taxes even help golf courses when most of the cost is actually maintenance of the greens? I personally have no problem and like walking the courses which I do most of the time in the US!
This is a sure sign that Najib is desperate for any sort of publicity and spin and don’t have his priorities screwed on right.
Are we screwed or are we screwed…???
Gerakan K
Hahaha, you are a real joker.
How the govt of the day manages our money…ooops! my money…bloating their
blooming wallets, in case you are too … blind to see or, are you one of those beneficiaries?
Shsss,
don’t talk openly OK. Keep the secret to yourself. Otherwise all contractors will get angry. By the way nothing wrong to get government projects.
Anil – jo makes some good points about economic benefits which calls for a response from you.
Also golf courses are required to be self sufficient in water….i.e. the lakes and ponds are supposed to store enough water for all their needs. If drawn from public sources, rates for water are punitive.
Cheers – joe
tks jo.if we quantify our arguments and fair in our judgement,we will find solution in trying to better the world…usually it is WILLINGNESS TO WORK.
Typo error: should read “Benefactors”
Najib has been delaying telling us his NEM. It is delayed again till June. If it is so good and every body support it, he should be crowing… in the morning. Looks like we are going to be screwed again.
The Malays have a saying, ‘Anak kera disusui, anak di rumah mati kelaparan’. I think this is what it’s going to come down to with this PM & the GST.
The household earning for the average Malaysian has not increased much over the years. They are already struggling to cope with the escalating costs of basic necessities. Many are not even in the taxable income group. The priority is to help them cope better and help the country, by looking at those industries they work in and then find ways to shore up their skills & therefore, their income. Yet, our brilliant PM takes the other end to force GST on the country at a time where only 15% of people are in the taxable group. To top it all, he’s introducing incentives like these to those who don’t need it. Only those few new golf resorts and those who need to upgrade will benefit. Net benefit is so insignificant. I agree it’s only cheap publicity.
Don’t you know it yet, Anil?
The Malaysian Military is one of the very lucky ones !
All over the world Military Personnel can NOT play golf while they are on duty.
Not so in Malaysia.
In Malaysia, military personnels, especially those with high ranks, can go play golf WHILE THEY ARE STILL ON DUTY !!!
No wonder the import tax on golf equipment has been abolished !
Hooray to our Generals and Colonels !!!
No, I didnt know that! Really?
Yeah !
Some opposition MPs produced some pictures of military Generals and Colonels playing golf in some PRIVATE GOLF CLUBS.
And when this matter reaches the press, they went to ask the Defense Department.
The Defense Minister then clarified the matter — saying, yes, those Generals and Colonels were TECHNICALLY ON DUTY at the time they were playing golf, but it is normal, because the Malaysian military allow them to do so !
Where did you get this info/news? Do you have a website link for that?
Why abolish import duty on all golf buggies thereby stifling the development and marketing of locally made golf buggies?. I understand that locally made golf buggies are quite of high standard and quality.A better strategy would be to provide financial and tax incentives for the local makers of the golf buggies.
Those who play golf are among some of the highest income tax payers in this country.
What is wrong with giving tax relief sometimes to the games of the well to do?
Occasionally, the country ought to reward these people.
Anyway, they are infinitely better than those who pay no tax but clamour for more handouts and subsidies.
As we communists or what ?
Eh ???
GST = pro-Chinese policy ??? (Since many people believe the Chinese in Malaysia constituted the majority of the tax payers)
Mahathir once admitted that Chinese paid 90% of the whole taxes in Malaysia. They may not be the majority, but somehow, they paid the most tax. Try figure that one out. Then you’ll understand why many people are against GST.
Yeah, they can play golf and main kaki tiga.
For us normal folks, we have to play catch up in terms of cost of living
We can play commenting online, just like playing in this blog.