KUCHING: The federal government has no plans to reintroduce the Goods and Services Tax (GST), said Deputy Minister of Domestic Trade and Consumer Affairs Chong Chieng Jen.

Speaking at a press conference here today, the Pakatan Harapan (PH) Sarawak chairman said he had checked with the Ministry of Finance (MoF), which confirmed that there was no plan to reintroduce GST.

“But being a government which listens to the people, if there is a strong request to reintroduce GST, then I think maybe the people are ready (for GST).

“I’ve read the (recent) statement from (Prime Minister) Tun M (Tun Dr Mahathir Mohamad) who said if there was such a request (to reintroduce GST) then the government has to study the possibility.

“So far, I’m quite certain that there is no such strong request from the people to reintroduce GST; I’ve checked with the MoF,” he said at the Democratic Action Party (DAP) Sarawak headquarters.

Asked when he checked with MoF, Chong said the check was made following the recent statement by Dr Mahathir, adding: “It was just a phone call.”

The Stampin MP reiterated that the government would consider bringing back GST only if there was a strong request from the grassroots.

“Do you want GST to be introduced? So far, there is no such request.”

On a note that the government recorded a RM23 billion reduction in tax revenue collection following the abolishment of GST, which was replaced by the Sales and Services Tax (SST), he said: “This is because people are paying less tax.”

He explained that when the people paid less tax under SST, it would be certain that the government was bound to see lower tax revenue collection.

“Tax revenue under SST is lower, but that’s what the people want. Do you want to pay more tax? I don’t think so. The cost of living is high and (some) people are making ends meet,” he said.

Chong said he was positive that almost all PH MPs had no intention to reintroduce GST.

“If GPS (Gabungan Parti Sarawak) MPs wants to reintroduce GST, there are 19 GPS MPs in Parliament, they have the liberty to advocate for the GST system to be implemented in their debates in Parliament.

“And we will see if they get the majority or not. PH MPs are not in favour of the reintroduction of GST,” he added.

On Thursday, Dr Mahathir was quoted by Bernama as saying that the government would study the need to reintroduce GST if that was what the people wanted.

“If the people believe GST is better, we will study. We will study whether it (GST) is better than SST,” he said in Putrajaya.

The Malaysian Institute of Economic Research on Tuesday urged the government to reintroduce GST in the national Budget 2020 at a lower rate of three per cent.

The national Budget 2020 is scheduled to be tabled in Parliament on Oct 11.

GST was enforced on April 1, 2015 at six per cent but was replaced with SST from Sept 1, 2018.