Sabah’s 40% revenue talks must not spark tensions, says Mustapha

Sabah’s 40% revenue talks must not spark tensions, says Mustapha

The Kota Kinabalu High Court ruled on Oct 17 last year that Sabah is entitled to 40% of the net federal revenue derived from the state.

Mustapha Sakmud
Sabah and Sarawak affairs minister Mustapha Sakmud said a special committee had been formed to examine federal agencies’ tax data in Sabah.
PETALING JAYA:
Sabah and Sarawak affairs minister Mustapha Sakmud has called on ethnic group leaders to help maintain harmony during the ongoing negotiations over the implementation of Sabah’s 40% net revenue entitlement as outlined in the Malaysia Agreement 1963 (MA63).

He said while progress had been made during discussions between the state government and the finance ministry, challenges during the negotiations could raise public concern, according to The Borneo Post.

“I hope the Sabah United Association of Ethnic Bumiputera Native Council (Magebs) and the leaders of various ethnic groups can cooperate to help their members understand that while we fight for our rights, we also have a responsibility to ensure that the federation and the state remain strong and are in harmony,” he said during a Magebs meeting in Kota Kinabalu today.

“We do not want tensions to escalate due to these issues, causing friction between the federal and the state governments, or among NGOs within the state.”

He urged Magebs and ethnic group leaders to play their roles in maintaining harmony and supporting the country’s continued development, adding that he was personally monitoring the negotiations to ensure the court-mandated timeline was met.

The Kota Kinabalu High Court ruled on Oct 17 last year that Sabah was entitled to 40% of the net federal revenue derived from the state.

It directed the federal government to conduct a review with Sabah to determine the state’s 40% entitlement for each financial year from 1974 to 2021.

The court also ordered that the review must commence within 90 days and be completed within 180 days.

Mustapha said a special committee had been formed to examine federal agencies’ tax data in Sabah following the High Court’s ruling.

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