KUALA LUMPUR: Finance Minister Lim Guan Eng today highlighted that 1Malaysia Development Berhad (1MDB) is the main reason for the scaling down of the Light Rail Transit 3 (LRT3) project.
He claimed that 1MDB and other financial scandals have cost the nation ‘tens and tens of billion Ringgit’, making it difficult for the government to afford mega projects at this time.
“I know this will not satisfy everyone but we have no choice.This country cannot afford all this mega projects anymore. Just for one 1MDB scandal, we have to pay RM50 billion. If not for 1MDB scandal, LRT3 can go on, other projects can proceed,” Lim said during his keynote speech at the National Tax Conference 2018 at KLCC today.
Among other things, Lim also mentioned that the Inland Revenue Board will no longer be applying the ‘rough house tactics’ against businesses that is accused of tax evasion.
The DAP Secretary General said there is no need to raid offices with armed personnel as it is uncivilised and will remain a thing in the past.
“No more of those rough tactics in the past because we are your government and we think that this tactics should be applied to really bad people,” he said.
Still on tax matters, Lim during the speech also announced that Sales and Services Tax (SST) will be set at 10% for sales and 6% for services.
He added that the tax, which bill is expected to be passed in the current Parliament sitting is expected to bring in RM4 billion revenue.
It has been previously said that SST will be replacing the heavily criticised Goods and Services Tax (GST) Sept 1 onwards.
