FREE YOURSAY ‘The impact from the weak ringgit will be far greater than GST.’

Stockpiling families find no escape from GST

Anonymous #19098644: The aim of the Goods and Services Tax (GST) is to widen the tax base and to increase revenue for the government.

The people would not object if the money collected is used for better health care, education, housing, welfare or reducing the country’s debt.

Instead they see it being squandered on corruption, such as 1Malaysia Development Berhad (1MDB), and waste and leakages which have been highlighted year after year by the auditor-general.

Blobfishface: None of us would object so vigorously if PM Najib Razak and his wife, Rosmah Mansor, didn't rub salt into the wound with their conspicuous consumption.

To ration water and make the public thirst while we see the elite washing their cars and watering their golf courses is a sure-fire formula for revolution.

Moon Keong: The government can use the GST collected to build infrastructures such as hospitals and schools so that people get access to quality health care and education. GST can also be a tool for government to curb the over-consumption of undesirable goods.

Gunnerrun: Fellow Malaysians, all the cost-cutting you have made, all your sacrifices and struggles are commendable.

Kudos to you but when taxes are passed to the receiver, it goes into buying jet planes, paying these uneducated cybertroopers to prop up the policies of the government, the salaries of the thousands of bloggers and consultants (for example, Paul Stadlen), lavish weddings and a million other things that do not and will not benefit us, the man in the street.

Fair Play: The snowballing effect is yet to be felt in the domestic economy. As households tighten their belt, demand would soon drop, causing a reduction in supply.

A reduction in supply will shrink the domestic economy. Add the depreciating ringgit and higher inflation, and one can draw his or her conclusion whether the future is bright or bleak.

Negarawan: Indeed, the impact from the weak ringgit will be far greater than GST. As Malaysia is highly dependent on imported goods and raw materials, we will see a growing impact as old inventories get depleted and new inventories brought in at higher cost.

Some economists have estimated the combined effects from GST and weak ringgit to be as high as 20 percent.

And as ordinary Malaysians tighten their belts to make ends meet, we continue to see leaders in government waste our country's resources and live sinfully luxurious lives using taxpayers' money.

Saphire: GST is eating into our budget in almost every department. I happened to withdraw AUD200 from an ATM machine in Australia using my debit card.

Upon accessing the transaction on the Internet banking, I was shocked that a sum of RM10 had been charged against me as GST. My God, withdrawing my own money will also incur GST.

David: The effects of GST and the rising cost of living will take its toll on the food and beverage industry eventually when everyone cuts down on eating out.

Take a leisurely walk in Paradigm Mall, Petaling Jaya and count the number of eateries and retail outlets that have closed down over the last two months.

As anticipated, GST will further shrink the economy with decelerated spending in the face of tightening household budgets. However, Deputy Finance Minister Ahmad Maslan thinks otherwise.

Dr Manhattan: GST educates the people to buy goods in bulk when there are sales going on. Always monitor the prices through websites of hypermarket/supermarket. Be a smart consumer.

Goldee: There is a way to cut tuition and transport fees. Teach the children yourself or send them in your own car.

Plant your own vegetables. There are many other ways we can cut costs. Don't send your car to the car wash or send it once in two months rather than washing it weekly.

Zuki Zauji: According to Paul Selvaraj, the secretary-general of Fomca, the impact of the GST on the poor cannot be measured solely based on their expenses when eating out.

Instead, he said the tax must be judged on its effects on the gamut of household spending, which include healthcare services, education, transportation and more.

“You must look at the basket of goods. Because of zero-rated items, the poor are paying less.”

Ksn: GST has badly affected everybody, especially those who have retired and live on small fixed income like their pension, or interest from Employee Provident Fund (EPF) deposits, etc.

But is anybody, I mean anybody in authority, concerned that prices of all goods have gone up due to GST?

The poor are the real victims and it is affecting their daily livelihood. Well, what choice do we have? We have to eat to live, right?                     

Vgeorgemy: Special thanks to Malaysiakini in publishing such common man stories how we need to manage our expenses in a practical manner even though it affects small businesses.

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