He said the government is still studying the impact of implementing GST in the current economic situation and assessing the appropriate time for it to be reintroduced to help raise the country’s revenue.

“The government has not planned to bring back GST as was announced in Budget 2023. However, we are not rejecting it. It is just that it will not be implemented this year.

“GST can be a progressive tax in the future, by having zero-rated goods and services used by the bottom (B40) group,” he said at the Dewan Rakyat’s question and answer session today.

He was answering a question from RSN Rayer (PH-Jelutong) on whether the unity government will reintroduce GST which had burdened the people before.

Ahmad also explained that about 90% of countries around the world – including those on the value-added tax (VAT) regime – have implemented GST.

“A total of 174 countries have implemented GST. It is impossible that they made a mistake when they decided to implement it.

“Therefore, GST can help (the country) raise more income in the future, which in turn can be used to help those who are in need and to eradicate poverty,” he said.