Posted: Aug 29, 2013 1:45 AM
Updated: Aug 29, 2013 1:46 AM
KUALA LUMPUR, Malaysia (AP) A senior government official says Malaysia plans to impose a goods and services tax by 2015 to boost revenue and curb its fiscal deficit.
The government delayed announcement of a consumption tax amid fears of a backlash in May's general elections. With the polls over, the government is moving to narrow its deficit which hit 4.5 percent of gross domestic product last year.
Fitch Ratings recently cut the country's credit rating outlook to negative from stable, citing rising debt and an absence of budgetary reforms.
Treasury Secretary-General Mohamad Irwan Serigar Abdullah says the goods and services tax could be announced in October but it will take 14 months before it can be implemented.
He said Thursday the tax rate, previously mooted at 4 percent, isn't decided yet.