Azmin Ali laughs off federal government's criticism

KUALA SELANGOR: Datuk Seri Mohamed Azmin Ali has laughed off claims that the country would go bankrupt if the Goods and Services (GST) was abolished, saying the caretaker federal government can take some pointers from Selangor in managing their income.
The caretaker Selangor Mentri Besar pointed that the caretaker state government lost about RM80 million each year on assessment tax exemptions for low-cost and village home owners, but still brag over RM3 billion in reserve.
"In Selangor, we have abolished assessment tax for certain groups for the fourth year now. Every year we lose about RM80 million, which make the total loss about RM300 million, but we still exempt it because we want to give back to the rakyat.
"The point is, even if you don't charge taxes, you won't go bankrupt. In fact, our revenue and reserve have increased, and our state is more developed now," he said during a programme with Kuala Selangor residents, here, yesterday.
Pakatan Harapan (PH) had in its manifesto promised to abolish GST within 100 days of coming into power should it win in the forthcoming general election.
The proposal was however mocked by leaders in Barisan Nasional (BN), including caretaker Prime Minister Datuk Seri Najib Abdul Razak, who claimed that the country would be further in debt and possibly face bankruptcy.
Azmin, who is also PKR deputy president, said the caretaker government's decision to exempt GST on China Communication Construction Company (CCCC) for the construction of the East Coast Rail Link (ECRL) was also an act of betrayal to the rakyat.
He said the move was unfair, as every other citizens, including those in the lower income group, are subjected to the infamous tax.
"Is this fair? Farmers, settles, taxi drivers all have to pay the tax, but a foreign company from China, which is already getting billions of ringgit of contract, is exempted. It's an act of betrayal.
"If a foreign company does not need to pay, then why should Malaysians pay? If the (caretaker) government is clean and of integrity, and the finance is managed properly, the surely the rakyat can be championed," he said.
It was revealed last week that CCCC was given exemption from paying the tax, with Customs director-general Datuk Seri Subromaniam Tholasy later confirming that the move was to reduce the cost of implementation of the rail project.