Lim Guan Eng: We cannot have 'one country, two tax systems'

Lim: We cannot have 'one country, two tax systems'
Business & Markets 2013

Written by Chittesh Shukla of theedgemalaysia.com
Monday, 07 January 2013 15:11

KUALA LUMPUR (Dec 7): The Democratic Action Party (DAP) is urging the federal government to avoid practising double standards by implementing a flat tax rate of 15% under the Returning Experts
Programme (REP) and in Iskandar Malaysia, but not for local experts with similar skill sets.

"BN is showcasing a double standard by discriminating against local experts who choose to remain in Malaysia rather than seek greener pastures overseas. The important question raised is why local experts
working in Malaysia are not accorded similar recognition for their commitment to their country," DAP secretary-general Lim Guan Eng said on Monday.

The objective of the REP was to encourage Malaysian experts working overseas to return to Malaysia by offering various incentives, including a flat income tax rate of 15% for five years.

According to Lim, similar double standards apply for experts and professionals working in Iskandar Malaysia, who enjoy the same flat income tax rate of 15%.

"Justice, fair play and a level playing field demands that this income tax rate be applied equally to all experts and professionals throughout Malaysia. We cannot have 'one country, two tax systems' which will make a mockery of the 1Malaysia concept!" he added.

"Should BN refuse to do so, Pakatan Raykat (PR) will implement this fair measure when PR wins Putrajaya to attract and retain human talent by adopting a flat 15% personal income tax rate for all experts whether returning to or already in Malaysia," Lim concluded.