My Budget 2015 comments on the PM budget and his dodgy GST calculations have been picked up by the Edge Weekly today. See the picture below.
This morning I was in MPSJ to join YB Hannah Yeoh to celebrate International Day of Older Persons with the Senior Citizens Club of Subang Jaya. I gave a speech on my recent Parliament work and wished the old folks well. Then I rushed to Anwar Ibrahim’s house to join his advisors to work on his Budget reply speech.
My first thoughts on the Najib administration’s 2015 Budget:
1. Prime Minister Najib has done it again. For his office operating expenses he has given himself RM9 billion and for development expenditure RM13 billion, totalling a whopping RM22 billion. As a comparison the army that has jets and ships and tanks has a mere RM17 billion budget. The Health department with doctors, nurses and hospitals has RM24 billion. The home office has RM13 billion.
This year’s budget is RM274 billion. That means the PM controls about 8% of the national budget and his office does not do anything in particular. It does not run hospitals or schools. It does not run the police or army. So why the massive budget?
2. The PM gave us a “magic” calculation on GST. He said GST next year will collect RM23.3 billion next year. So we have to deduct the cancellation of SST by RM 13.8 billion. So far ok. Logical.
Then he said there is a savings of RM3.8 billion of exempted GST goods. So he says we have to deduct that too. Eerrr…….can do math like that one meh? Then he says he will give back to the rakyat through BR1M in the sum of RM4.9 billion. So he says must also deduct RM4.9 billion too. That’s just plain wrong because he paid out RM4 billion last year, so the actual deduction should be 0.9 billion only.
Therefore based on his magic calculations, GST will only costs the people RM700 million in extra tax burden on the rakyat. That is just misleading.
According to my math GST next year will cost all of us RM8.5 billion of extra taxes. That means every single Malaysian will pay a net extra tax of RM283 to the government next year.
And two other minor observations:
1. Najib is wearing Pakatan Rakyat orange colour.
2. He has a high tech teleprompter.
The budget launch was a success. It is good to see Pakatan Rakyat MPs united again after the last few months of disagreements. My office staff and interns worked hard up to 2.30pm, tidying up texts and photocopying some 80 copies of the Budget for the media and MPs. Dato Seri Anwar Ibrahim was in good form as he explained the budget to the press and then Raf, Kian Ming, Dr Dzul and I took over to answer details of the Budget.
You can read more about the launch here.
After 6 weeks of work, the Pakatan Rakyat Budget 2015 will be launched today in Parliament at 2.30 pm.
Many thanks to the Budget Committee Team of Rafizi, Ong Kian Ming, Shao Loong, Ajmel, Dr Dzul, and also my support staff Wyhow, Gillian and interns William, Douglas and Ying Ning. Let’s agree not torture ourselves again next year!
My team had to camp in Parlaiment the whole of yesterday. We had domino pizzas in Parliament and left at 11.30 pm last night. I went to bed around 3 am. Rafizi same time too and he had to even cut short his wedding anniversary dinner!