GST but have not given us any details of the products (that are being taxed). We have to take a look by ourselves on the internet. It is unfair for us actually." the Malaysian government had maintain the basic food items, education, healthcare and medical to be exempted from the GST in order to ensure the citizen quality of life would not be affected by the GST.( zero rated, exempted or standard rate)
It is double taxation. Firstly, when income is earned and secondly when the income is spent. This first of which is the polarizing views of the tax itself.
1. The main issues concerning about the implementation of GST is the costs of the goods will increase which will burden the people in the country. GST will increase the price of food, health care, medical product, public transport and other essential Services. It will effect in the low income group. Hence, it may affect social problem. (prices go up, purchasing power lower)
2. Consequently, there might have inflation effect since the GST is applied to the prices of all goods, at every stages which result in inflation as the general products prices may go up and the hyperinflation might occur from the continuously of inflation .There might have continuously effect from the products prices go up. The demand of the market might substantially decrease due to the limited purchasing power of households. Many people argue against the GST is that the people would not have the ability to pay for it as the high cost of living cannot be met by their current income needs and GST would unduly burden the low income working group. Due to the increased products prices and high cost of living, people may not willing to spend so much as their limited purchasing power and the market demand will substantially affected. (Poor become poorer, AND INFLATION)
3. Although the government claim that the GST would not hurt businesses due