KUALA LUMPUR: The government will adopt a “tax when only necessary” approach for its policies and reforms, according to Datuk Seri Anwar Ibrahim. The Prime Minister emphasized the importance of taxes in ensuring national development, but also highlighted the need to avoid burdening the rakyat (people) and companies.
Anwar stated, “For our country, the policy is to tax when it is absolutely necessary and it should never burden taxpayers. The changes in the coming budget will be based on this approach.”
In his keynote address at the National Tax Conference 2023 in Kuala Lumpur on Tuesday (Aug 1), Anwar added, “Tax only when necessary.” He emphasized the importance of encouraging productivity for nation-building, while also ensuring the welfare of marginalized groups.
The Prime Minister also stressed the importance of an efficient and effective tax institution. He stated, “The tax institution must be very efficient, very clear and very effective.”
Anwar further highlighted the significance of good governance in combating endemic corruption, which directly affects tax revenue. He stated, “We can collect as much as possible but if the governance issues are not resolved, there are leaks. You can spend RM22bil to help the rakyat but there are leaks all around with RM5bil to RM6bil being lost.”
In November last year, the Malaysian Anti-Corruption Commission (MACC) initiated an investigation into reports that a RM2bil flood mitigation project was approved after the dissolution of Parliament under the previous administration. In February, Anwar announced the re-tendering of six flood mitigation projects, resulting in a saving of RM2bil from the originally allocated RM15bil. He also scrapped Jana Wibawa projects worth RM7bil that were awarded through direct negotiations.
Meanwhile, Anwar revealed that the Economy Madani framework will serve as the foundation for several upcoming policies. He stated, “In the next few weeks, we will announce the Industry Masterplan, and following that, the mid-term review of the 12th Malaysia Plan.” He also mentioned that the second Madani budget will be unveiled in October.
Anwar concluded by emphasizing the need for regular updates on the progress of the Madani concept and its associated policies. He urged other ministers to make daily announcements on their follow-up policies and progress.
Credit: The Star : News Feed
