GST is a sell-out of Sarawak’s Rights and on average every Sarawakian had paid RM1,000 each GST to the Federal Government

GST is a sell-out of Sarawak’s Rights and on average every Sarawakian had paid RM1,000 each GST to the Federal Government

On average, every Sarawakian has paid a whooping RM1000 of Goods and Services Tax (GST) in the first 9 months of the implementation of GST.
According to the announcement of the Ministry of Finance, the total GST collection for the first 9 months of its implementation (1-4-2015 till 31-12-2015) exceeded RM30 billion.
Sarawak’s population is 1/10th of Malaysia’s total population and its economy size is approximately 10% of the national’s economy. Therefore, out of the RM30 billion GST collection, RM3 billion is estimated to be coming from Sarawakian.
Given the population of Sarawak is approximately 3 million, RM3 billion is a whooping RM1,000 of GST payment for every Sarawakian, from baby to old folks!
The biggest irony of it all is that, despite the constant trump-up autonomy agenda of Adenan, the Sarawak BN’s support for GST is actually a surrender and sell-out of Sarawak’s autonomy which hurts the people of Sarawak most.
Under the Federal Constitution, Sarawak Government has the rights to collect Sales Tax which constitutes a major part of GST. By supporting the implementation of GST, the BN Sarawak is in effect surrendering its autonomy to collect Sales Tax to the Federal Government, unless it intends to subject all Sarawakian to both GST and Sales Taxes, a double whammy.
If Sarawak Government truly wants autonomy for Sarawak, the most important item is to increase the source of revenue for the State Government. That was also the reason why shortly (3 months) after Adenan became the Chief Minister, Sarawak DUN accepted and passed the motion to demand for the increase of Oil and Gas Royalties from 5% to 20%.
21 months have gone by, yet Adenan is getting no where on this motion. He has even dropped the 20% Oil and Gas royalty agenda from the top priority item to the last priority item.
The saddest of it all is that: at the same time when the State Government failed to get the 20% Oil and Gas Royalties, the common people of Sarawak has, on average, paid RM1,000 each to the Federal Government in the form of GST in the first 9 months of its implementation.
While Adenan is bragging about the 13 autonomy which he has successfully fought for from the Federal Government, these so-called 13 autonomy are, in true fact, administrative power, not true autonomy. More importantly, these so-called 13 administrative autonomy does not bring direct benefit to the common people of Sarawak.
On the other hand, while Adenan is boasting about the said autonomy, he is surreptitiously surrendering the Sarawak’s Autonomy on Sales Tax to the Federal Government, which affects every Sarawakian and hurts the Sarawak’s economy as a whole.
Therefore, Adenan’s autonomy agenda is in fact, only a show to create the “feel good” factor amongst the people but which has no direct tangible benefits to the people of Sarawak.
If Adenan truly wishes to do good for Sarawak and its people, he should immediately pull out from the UMNO-led BN and force the reduction of GST to zero rate. He should stop hugging and supporting Najib.
28-2-2016
Chong Chieng Jen
MP for Bandar Kuching
ADUN for Kota Sentosa