Johari said that customs department director-general Subromaniam Tholasy was unaware that the amendments had yet to receive Cabinet clearance.
“That’s what he told me when I enquired about the matter when it was brought to my attention,” Johari told FMT.
Johari also explained that this was why his signature on two separate documents uploaded onto the custom department’s website pertaining to the GST order did not mean he was aware of the order.
He told FMT that his signature at the bottom of both documents were part of a “standard format”.
Initially, it was reported that the government would subject the 6% GST on some 60 food items, including bihun, spinach and potatoes, only for the customs department to announce the cancellation of the order less than 24 hours later.
Subromaniam had explained that the cancellation was made after the department referred the matter to the finance ministry.
Johari then reiterated that the cabinet would have to approve the list of new items to be taxed before it can be implemented, stressing that it was the “standard practice”.
“Unfortunately, this one somehow slipped through the process. I have asked the secretary-general of the treasury to strengthen the procedures,” he said, alluding to Mohd Irwan Serigar Abdullah.
Earlier today, PKR vice-president Rafizi Ramli had presented parliamentary orders from the last Dewan Rakyat session that showed the GST imposition on the 60 food items was proposed by Finance Minister Najib Razak.
The government introduced the GST in April 2015 in the form of a 6% tax on goods and services. Putrajaya has collected over RM50 billion in GST revenue since its inception.