The PKR vice-president then furnished parliamentary records showing the proposal was mooted by Finance Minister Najib Razak through his deputy Othman Aziz at the last Dewan Rakyat session.
“It is irresponsible to blame the department every time the people complain about the GST as the decision to implement it comes from the finance ministry. The department merely carries out the instruction,” the Pandan MP said in a statement.
Yesterday, the customs department cancelled the order which would have seen over 60 food items, including noodles, potatoes and spinach, being subject to the GST.
The department’s director-general Subromaniam Tholasy said the decision was made after it had referred the matter to the finance ministry.
The cancellation came hours after China Press reported that some 60 food items including seafood, vegetables, fruits, tea, coffee, spices and noodles would be subject to the GST beginning July 1, according to a list posted on the customs website.
Other items that would have been subject to the 6% GST included bihun, kuey teow, laksa mee, coconut oil, eel and swordfish, as well as imported fruits like avocados, figs, grapes, nectarines, cherries and berries.
Under the category of vegetables, potatoes, long beans, peas, spinach and sweet corn were supposed to be taken off the GST zero-rated list.