Latest news with #LVG
Yahoo
31-07-2025
- Business
- Yahoo
Lake Victoria Gold Announces Non-Brokered LIFE Private Placement of Units and Concurrent Private Placement of Common Shares
Vancouver, British Columbia--(Newsfile Corp. - July 31, 2025) - Lake Victoria Gold Ltd. (TSXV: LVG) ("LVG" or the "Company") is pleased to announce that it intends to complete a non-brokered private placement (the "LIFE Private Placement") consisting of the issuance of units of the Company (the "Units") at a price of $0.175 per Unit, for aggregate gross proceeds to the Company of up to $6,000,000. The LIFE Private Placement is subject to a minimum offering amount of $3,000,000. Each Unit will be comprised of one common share of the Company (each, a "Share") and one-half of one common share purchase warrant (a "Warrant"). Each Warrant will be exercisable by the holder thereof to acquire one additional Share (a "Warrant Share") at an exercise price of $0.27 per Warrant Share for a period of three years from the date of issuance of the Warrant (the "Warrant Expiry Date"). Subject to compliance with applicable regulatory requirements, the LIFE Private Placement is being conducted pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106 - Prospectus Exemptions and in reliance on the Coordinated Blanket Order 45-935 - Exemptions from Certain Conditions of the Listed Issuer Financing Exemption. The securities issued to purchasers in the LIFE Private Placement will not be subject to a hold period under applicable Canadian securities laws. There is an offering document related to the LIFE Private Placement that can be accessed under the Company's profile at and on the Company's website at Prospective investors should read this offering document before making an investment decision. In addition to the LIFE Private Placement, the Company announces a concurrent non-brokered private placement of up to $1,500,000 through the issuance of up to 8,571,428 Shares at a price of $0.175 per Share (the "Concurrent Private Placement" together with the LIFE Private Placement, the "Private Placement") to purchasers pursuant to other applicable exemptions under NI 45-106. All securities issued in connection with the Concurrent Private Placement will be subject to a statutory hold period of four months and one day following the date of issuance in accordance with applicable Canadian securities laws. The Company intends to use the gross proceeds of the Private Placement for exploration and upkeep of the Company's Tembo and Imwelo Gold Projects, and for general working capital purposes. The closing of the Private Placement is expected to occur on or about August 29, 2025 (the "Closing Date"). The closing of the Private Placement is subject to certain closing conditions, including the approval of the TSXV. The Company may pay finder's fees in cash and securities to certain arm's length finders engaged in connection with the Private Placement, subject to the approval of the TSXV. It is anticipated that insiders of the Company will participate in the Concurrent Private Placement. The participation of any insiders may be considered a related party transaction within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). Such insider participation will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to sections 5.5(b) and 5.7(1)(a) of MI 61-101, as the Company is not listed on any of the exchanges or markets outlined in subsection 5.5(b) of MI 61-101, and the fair market value of the securities to be distributed to the insiders will not exceed 25% of the Company's market capitalization. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements thereunder. About Lake Victoria Gold: Lake Victoria Gold is a rapidly growing gold exploration and development company listed on the TSX Venture Exchange under the symbol "LVG". Leveraging our unique position and experience, the Company is principally focused on growth and consolidation in the highly prolific and prospective Lake Victoria Goldfield in Tanzania. The Company has a 100% interest in the Tembo project which has over 50 thousand meters of drilling and is located adjacent to Barrick's 20Moz Bulyanhulu Mine. The Company recently (August 10, 2023 and August 29, 2023) announced the acquisition of two deposits that support our objective of accretive growth and consolidation. The Imwelo project and Dora project both have potential for significant growth. LVG has assembled a highly experienced team with a track record of developing, financing, and operating mining projects in Africa with management, directors and partners owning more than 60% of the shares. Notably, the Company is grateful for the validation that comes with the support and equity investment from Barrick Gold and recent strategic partnership with Taifa Group. Taifa Group (a diverse group of companies with interests in amongst others, Mining, Telecoms, Oil & Gas, Agri Business, Pharmaceuticals and Leather) has entered into an agreement with the Company to obtain an equity stake in the Company and through its wholly owned subsidiary Taifa Mining (a wholly Tanzanian owned company), or other nominees. Taifa Mining will also carry out all the contract mining and civil works for the Imwelo project. Taifa Mining is Tanzania's largest mining contractor with over 30 years mining related experience. Taifa have been the contractor of choice to most mines in Tanzania and have maintained long and successful relationships with companies such as Petra, De Beers, Barrick, and AngloGold Ashanti. In addition, Taifa also owns the largest fleet of mining equipment in Tanzania. As a company, Taifa is committed to adopting and adhering to the latest internationally recognized standards throughout all aspects of its business. On Behalf of the Board of Directors of the Company, Simon BensteadExecutive Chairman & CFOPhone: +1 604-685-9316Email: sbenstead@ For more information, please contact: Simon BensteadExecutive Chairman & CFOPhone:+ 1 604-685-9316Email: sbenstead@ Marc CernovitchCEO & DirectorPhone: +1 604-685-9316Email: mcernovitch@ NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE. Cautionary Statement Regarding Forward-Looking Information This news release includes certain "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements in this news release that address events or developments that we expect to occur in the future are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, although not always, identified by words such as "expect", "plan", "anticipate", "project", "target", "potential", "schedule", "forecast", "budget", "estimate", "intend" or "believe" and similar expressions or their negative connotations, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. All such forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Forward-looking statements in this news release include statements regarding, among others, the terms and completion of the Private Placement, raising the minimum and maximum amounts of the Private Placement, the payment of finder's fees and issuance of finder's securities, the anticipated closing date and the planned use of proceeds for the Private Placement. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include the ability to obtain regulatory approval for the Private Placement, the state of equity markets in Canada and other jurisdictions, market prices, exploration successes, and continued availability of capital and financing and general economic, market or business conditions. These forward-looking statements are based on a number of assumptions including, among other things, assumptions regarding general business and economic conditions, the timing and receipt of regulatory and governmental approvals, the ability of the Company and other parties to satisfy stock exchange and other regulatory requirements in a timely manner, the availability of financing for the Company's proposed transactions and programs on reasonable terms, and the ability of third-party service providers to deliver services in a timely manner. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements, and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future or otherwise, except as required by applicable law. NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES To view the source version of this press release, please visit Sign in to access your portfolio
Free Malaysia Today
30-07-2025
- Business
- Free Malaysia Today
Govt shelves plan to introduce high-value goods tax
Finance minister Anwar Ibrahim said in February that the government had put on hold the implementation of the high-value goods tax to prioritise several newly implemented fiscal reforms. (Bernama pic) PETALING JAYA : The government has dropped its plan to roll out a high-value goods tax (HVGT), says finance minister Anwar Ibrahim. In a written parliamentary reply yesterday, Anwar said that while the high-value goods tax would not be implemented, the principle of taxing luxury items had been incorporated into the revised sales tax structure, with luxury and selected goods now subject to rates of either 5% or 10%. He was responding to Shamsulkahar Deli (BN-Jempol), who asked about the projected increase in national revenue resulting from the implementation of fiscal reform measures. These reforms include the introduction of the HVGT, digital goods tax (DGT), capital gains tax (CGT), and low-value goods tax (LVG), as well as the expansion of the sales and service tax (SST) and the targeting of subsidies, both ongoing and planned. Anwar, who is also the prime minister, said in February that the implementation of the HVGT was put on hold as the government needed to prioritise several newly implemented fiscal reforms. The tax had been slated to come into force on May 1, 2024. It was originally announced in the revised 2023 budget with further details announced a year later. It aimed to impose a 5% to 10% tax on luxury items and was expected to generate an additional RM700 million in annual revenue. However, specific details about the tax, including the criteria for taxable goods and the range of items it would cover, had been scant, with only jewellery and watches explicitly mentioned. Anwar also said yesterday that while the government had not introduced a specific DGT, it had placed it under service tax on digital services (SToDS) since Jan 1, 2020. 'This tax applies to service providers offering or supplying services online or through other electronic networks. In 2024, SToDS generated RM1.6 billion in revenue,' he said. As for the LGT, which took effect on Jan 1, 2024, Anwar said it contributed approximately RM500 million in revenue for the year. He said the targeted diesel subsidies had saved the government up to RM600 million per month so far, and reiterated that the expanded SST is expected to generate an additional RM5 billion in revenue this year, doubling to RM10 billion by 2026. As for the CGT, which came into effect on March 1, 2024, Anwar said the actual amount for any given year of assessment would only be finalised once corporate taxpayers submit their income tax returns for the assessment year in question.
The Star
30-07-2025
- Business
- The Star
Govt scraps plan to impose luxury goods tax
KUALA LUMPUR: The government has decided not to proceed with its implementation of the proposed high-value goods tax (HVGT), says Datuk Seri Anwar Ibrahim. The Prime Minister said, however, the underlying principle has been incorporated into the revised sales tax framework, with luxury and discretionary items now taxed at either 5% or 10%. Anwar further noted that the newly implemented low-value goods (LVG) tax, effective from Jan 1, 2024, has brought in around RM500mil in revenue this year. He said the government's latest review of the sales tax rate and expansion of the service tax scope, which came into effect on July 1, is expected to increase national revenue by RM5bil this year and double to RM10bil in 2026. In a written parliamentary reply on Tuesday (July 29), Anwar, who is also the Finance Minister, said the ongoing diesel subsidy rationalisation has resulted in savings of up to RM600mil a month for the Federal Government. He added that other fiscal reform measures have contributed significantly to strengthening national revenue, including the implementation of the Capital Gains Tax (CGT) on unlisted shares, which took effect on March 1, 2024. 'Based on the current volume and value of transactions involving unlisted shares, the government estimates revenue collection at around RM800mil annually. 'However, actual figures will only be confirmed after corporate taxpayers submit their annual income tax returns,' he said. Anwar clarified that while a digital goods tax (DGT) has not been introduced, a service tax on digital services (StoDS) has been in place since Jan 1, 2020. This tax, levied on digital service providers offering or subscribing services online or through other electronic networks, has generated RM1.6bil in revenue so far in 2024, Anwar added.
Yahoo
25-06-2025
- Business
- Yahoo
Lake Victoria Gold Launches Multi-Purpose Drill Program at Imwelo Area C to Support Mine Readiness
Vancouver, British Columbia--(Newsfile Corp. - June 25, 2025) - Lake Victoria Gold Ltd. (TSXV: LVG) (OTCQB: LVGLF) (FSE: E1K) ("LVG" or the "Company") is pleased to announce a 7,750 metre, multi-purpose drilling campaign at the Area C zone of its fully permitted Imwelo Gold Project in northwestern Tanzania. The program is designed to support short-term production readiness, resource conversion, and final pit design optimization, with completion targeted for Q3 2025. This campaign forms a key component of LVG's strategy to initiate a low-capex open-pit operation at Imwelo, with future underground development to be evaluated as part of ongoing high-grade exploration and resource growth. Strategic ContextThe Imwelo Project, located just 12 km from AngloGold Ashanti's Geita Gold Mine, is fully permitted under a 10-year mining license. Backed by a simple development plan and metallurgical recoveries >90%, the Company is targeting first gold within 12 months of commencement of construction. Area C is the first zone planned for production and has an average grade of 3.7 g/t Au. It also represents one of the highest-grade zones within the Imwelo historical resource envelope. Previous intercepts include: 2m @ 5.06 g/t Au from 15m and; 6.8m @ 14.6 g/t Au from 33.2m (IMWRC-037)7m @ 3.22 g/t Au from 27m (IMRC-014)2m @ 7.5 g/t Au from 22m (IMWRC-038) Reported intercepts are downhole lengths; true widths are unknown. (Source: MEASURED GROUP PTY LTD (MG) Geology and Resource Estimate Report - Imwelo Project, Tanzania, May 2017 Marc Cernovitch, President & CEO of Lake Victoria Gold, commented: "We've designed this program to maximize Imwelo's short-term production readiness while extending the upside case. The drill data will help us finalize early mine scheduling, validate pit design, and potentially unlock high-grade extensions. With Area C now fully defined as our initial production zone, we're making meaningful progress toward becoming Tanzania's next gold producer." Program Highlights: Grade Control Drilling (3,750m RC):Designed on a 10x10 metre grid to a vertical depth of 20 metres, this work will define the initial ore/waste interface across the planned Area C open pit. The results will provide critical input for the early-stage mine plan and ore scheduling. Strike & Depth Extension Drilling (2,500m RC + 1,500m DD): Strike Extension Drilling (2,500m RC):This portion of the program will test extensions along strike to the west of Area C. Faulting identified in previous drilling suggests the mineralized zone may continue beyond the currently defined limits. These holes are designed to assess the continuity and potential expansion of the open pit resource envelope. Depth Extension Drilling (1,500m DD):The deepest drilling at Area C to date has only reached approximately 70 metres. This diamond drilling will test the ore zone at depths of 100 and 200 metres, aiming to upgrade existing Inferred resources and evaluate the potential for future underground development targeting high-grade zones at depth. Geotechnical & Metallurgical Work:Select diamond drill holes will support slope stability assessments for the final pit shell design, while additional core samples will be collected for confirmatory metallurgical test work. These inputs are essential to the final engineering and plant commissioning process. Seth Dickinson, P. Eng., Chief Operating Officer, added: "We've optimized this program to deliver multiple layers of value-from detailed grade control to geotech validation and deeper exploration. The step-out and depth targets are especially compelling given the structural complexity we've seen to the west. The team is focused on accelerating toward a clean construction start with maximum technical confidence." The Imwelo ProjectThe Imwelo Project is gold project located in northern Tanzania immediately to the west of Geita Gold Mine of Anglogold Ashanti. An updated pre-feasibility study ("PFS") was completed in 2021 by Measured Group Pty Ltd of Australia, incorporating mine design, mine planning, scheduling, reserve estimation and costing. The 3.85km2 Project is held under a Tanzanian mining licence ML538/2015. The Project is subject to a 2% royalty to a previous owner. The ML is fully permitted for mine construction and production to commence. The Project resource comprises seven mineralized locations that have been drilled and includes 42,000oz Au measured mineral resources at 3.15g/t, 95,700oz Au indicated mineral resources at 1.95g/t and 153,900oz inferred mineral resources at 1.53g/t for a total 291,600oz Au (the "Historical Resource Estimate"). Further information on the Historical Resource Estimate can be found below. The gold occurs as typical quartz vein shear hosted gold deposits suitable for open pit mining. The Project ML provides 'bluesky' potential. Drilling to date has only been down to 80m below surface. A number of areas were not drilled as they were not accessible at the time, and extensions to the known mineralisation remain untested, both along strike and certainly downdip. The Company anticipates it may define a current mineral resource on the Project and, eventually, mineral reserves that will allow expansion of production and extension of the mine life; however, there is no assurance that further exploration will result in the definition of current mineral resources or mineral reserves. The Historical Resource Estimate is derived from a report entitled "Geology and Resource Estimate Report - Imwelo Project, Tanzania, Lake Victoria Gold Limited" dated May 31, 2017 (the "Report") prepared by Measured Group Pty Ltd. The Historical Resource Estimate presented in the Report was carried out in accordance with the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (2012 Edition) prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia. The Report includes the following Historical Resource Estimate:Historical Mineral Resource Estimate Classification Cutoff GradeAu g /tonne Tonnes Gold Gradeg/tonne Ounce Gold Measured 0.50g/t 414,000 3.15 42,000 Indicated 0.50g/t 1,530,300 1.95 95,700 Inferred 0.50g/t 2,781,500 1.56 153,900 (Source: MEASURED GROUP PTY LTD (MG) Geology and Resource Estimate Report - Imwelo Project, Tanzania, Lake Victoria Gold Limited, May 2017) The above noted Historical Resource Estimate dated 31 May 2017 is the last historical mineral resource estimate on the Project and no more recent data is available to the Company. The Historical Resource Estimate is based on a detailed review completed by LVG and Measured Group Pty Ltd. of local conditions. It has incorporated LVG's view of long-term metal prices, foreign exchange and cost assumptions, plus mining and metallurgy performance to select cut-off grades and physical mining parameters. The cut-off grade is based on a gold price of US$1,500 and an 88% metallurgical recovery is assumed in the calculation of the cut-off grade. A qualified person has not done sufficient work to classify the Historical Resource Estimate as current mineral resources, and the Company is not treating the Historical Resource Estimate as current mineral resources or mineral reserves. The Company believes that the Historical Resource Estimate is relevant to an appraisal of the merits of the Project and forms a reliable basis upon which to develop future exploration programs. The Company will need to conduct further exploration, and there is no guarantee that the results obtained will reflect the historical estimate. In order to verify the Historical Resource Estimate to a current mineral resource estimate, the Company will need to retain a qualified person to verify historical drilling and assaying methods and validate historical results, add any drilling and assaying or other pertinent geological information generated since the last estimation, and complete an updated resource estimate and a new technical report. Significant data compilation, drilling, sampling and data verification may be required by a qualified person before the Historical Resource Estimate can be classified as a current resource. There can be no assurance that any of the historical mineral resources, in whole or in part, will ever become economically viable. In addition, mineral resources are not mineral reserves and do not have demonstrated economic viability. Even if classified as a current mineral resource, there is no certainty as to whether further exploration will result in any inferred mineral resources being upgraded to an indicated or measured mineral resource category. Qualified PersonThe scientific and technical information in this news release has been reviewed and approved by David Scott, Pr. Sci. Nat., who is a Qualified Person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects. Mr. Scott is a Director and Officer of the Company. About Lake Victoria Gold (LVG):Lake Victoria Gold is a rapidly growing gold exploration and development company listed on the TSX Venture Exchange under the symbol LVG. Leveraging our unique position and experience, the Company is principally focused on growth and consolidation in the highly prolific and prospective Lake Victoria Goldfield in Tanzania. The Company has a 100% interest in the Tembo project which has over 50 thousand meters of drilling and is located adjacent to Barrick's Bulyanhulu Mine. The Company also holds a 100% interest in the Imwelo Project which is a fully permitted gold project west of AngloGold Ashanti's Geita Gold Mine. With historical resource estimates and a 2021 pre-feasibility study, the project is fully permitted for mine construction and production, positioning it as a near-term development opportunity. LVG has assembled a highly experienced team with a track record of developing, financing, and operating mining projects in Africa with management, directors and partners owning more than 60% of the shares. Notably, the Company is grateful for the validation that comes with the support and equity investment from Barrick and recent strategic partnership with Taifa Group. On Behalf of the Board of Directors of the Company,Simon BensteadExecutive Chairman & CFOPhone: +1 604-685-9316Email: sbenstead@ For more information please contact: Simon BensteadExecutive Chairman & CFOPhone:+ 1 604-685-9316Email: sbenstead@ Marc CernovitchCEO & DirectorPhone: +1 604-685-9316Email: mcernovitch@ NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE. Cautionary Statement Regarding Forward-Looking InformationThis news release includes certain "forward-looking information" within the meaning of applicable Canadian securities legislation, including: future exploration and development plans with respect to the Imwelo Project, contract work on the Imwelo Project by Taifa Mining, securing additional financing for the development costs of the Imwelo project, the closing of the acquisition of the Imwelo Project and the concurrent financing, including the satisfaction of the closing conditions thereunder, and receipt of all regulatory approvals, including the approval of the TSX Venture Exchange for the acquisition and financing. All statements in this news release that address events or developments that we expect to occur in the future are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, although not always, identified by words such as "expect", "plan", "anticipate", "project", "target", "potential", "schedule", "forecast", "budget", "estimate", "intend" or "believe" and similar expressions or their negative connotations, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. All such forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Forward-looking statements necessarily involve assumptions, risks and uncertainties, certain of which are beyond LVG's control, including risks associated with or related to: the completion of the acquisition of the Imwelo project, the concurrent financing and related transactions, including receipt of all regulatory approvals and third-party consents, the volatility of metal prices and LVG's common shares; changes in tax laws; the dangers inherent in exploration, development and mining activities; the uncertainty of reserve and resource estimates; not achieving development or production, cost or other estimates; actual exploration or development plans and costs differing materially from the Company's estimates; the ability to obtain and maintain any necessary permits, consents or authorizations required for mining activities; environmental regulations or hazards and compliance with complex regulations associated with mining activities; climate change and climate change regulations; fluctuations in exchange rates; the availability of financing; financing and debt activities; operations in foreign and developing countries and the compliance with foreign laws, including those associated with operations in Tanzania and including risks related to changes in foreign laws and changing policies related to mining and local ownership requirements or resource nationalization generally, including in response to the COVID-19 outbreak; remote operations and the availability of adequate infrastructure; fluctuations in price and availability of energy and other inputs necessary for mining operations; shortages or cost increases in necessary equipment, supplies and labour; regulatory, political and country risks, including local instability or acts of terrorism and the effects thereof; the reliance upon contractors, third parties and joint venture partners; challenges to title or surface rights; the dependence on key personnel and the ability to attract and retain skilled personnel; the risk of an uninsurable or uninsured loss; adverse climate and weather conditions; litigation risk; competition with other mining companies; community support for LVG's operations, including risks related to strikes and the halting of such operations from time to time; conflicts with small scale miners; failures of information systems or information security threats; the ability to maintain adequate internal controls over financial reporting as required by law; compliance with anti-corruption laws, and sanctions or other similar measures; social media and LVG's reputation; and other risks disclosed in the Company's public filings. LVG's forward-looking statements are based on the opinions and estimates of management and reflect their current expectations regarding future events and operating performance and speak only as of the date hereof. LVG does not assume any obligation to update forward-looking statements if circumstances or management's beliefs, expectations or opinions should change other than as required by applicable law. There can be no assurance that forward-looking statements will prove to be accurate, and actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements. Accordingly, no assurance can be given that any events anticipated by the forward-looking statements will transpire or occur, or if any of them do, what benefits or liabilities LVG will derive therefrom. For the reasons set forth above, undue reliance should not be placed on forward-looking statement. 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Borneo Post
13-06-2025
- Business
- Borneo Post
Sarawak federation calls for delay of SST expansion, suggests GST be reintroduced
Datuk Richard Wee KUCHING (June 13): The Sarawak Federation of Chinese Associations (SFCA) has called on the federal government to delay the implementation of its expanded Sales and Service Tax (SST). The expanded SST policy is scheduled to take effect on July 1. SFCA president Datuk Richard Wee suggested a more measured approach should be considered in view of the uncertainty of US President Donald Trump's tariff war against most countries. 'Until the tariff negotiation is finalised between Malaysia and the USA, our government should not burden the rakyat and the business community further. 'Although such expansion of the SST excludes essential goods, the other affected categories will definitely be impacted. And if it is implemented now, there is a possibility that a further adjustment of prices will need to be imposed,' he said when contacted. Wee said expanding the SST would increase the nation's coffers at the expense of the business community, people, and Malaysian economy. He suggested the Goods and Services Tax (GST) be reintroduced instead. 'For the longer term, the federal government should reconsider the re-introduction of GST, as GST is a more efficient taxation system and if all major countries have similar system in place, there is no reason why Malaysia could not do the same,' he explained. Early last year, the Institute of Strategic Analysis and Policy Research (Insap) suggested the federal government should reintroduce the GST in place of SST. Institute chairperson Datuk Dr Pamela Yong had said this was in view of the government's attempt to boost its revenues with the introduction of the Low Value Goods (LVG) and the still on-hold High Value Goods (HVG) taxes. 'Through our dialogues with the various business associations, GST is still the preferred choice of taxation system due to its transparency and fairness,' she said in a statement. She pointed out the abolishment of the GST in 2018 resulted in a significant revenue shortfall. 'The GST generated a robust RM44 billion in 2017, contributing significantly to the national coffers. It has been estimated that the GST had it not been abolished it would have collected around RM63.5 billion instead of RM35.8 billion in 2024,' she said. Insap also stated the SST and LVG disproportionately impact vulnerable groups. The institute said by focusing on specific goods and services, these measures often place an undue burden on lower-and middle-income groups (B40 and M40) who rely on those goods and services, contradicting the government's stated goal of promoting social equity and inclusive economic growth. 'GST is well-recognised in many advanced countries to have far better outcomes in terms of collection due to its broadband nature,' Yong said, opining it was a grave mistake to have abolished the GST in 2018. 'The priority is to address the people's burden in having to face a downturn in the global economy. This requires stimulus packages and additional fiscal spending, which could have been well supplemented by the GST, had it not been put to an end by Pakatan Harapan 1.0. 'It is time for Malaysia to put political expediency in the back seat, swallow our pride, and re-instate the GST for the sake of the people,' she stated. GST lead Richard Wee Sarawak Federation of Chinese Associations SST
