Hybrid GST-SST System: Economist Dr Carmelo Ferlito Raises Concerns
Economist Dr Carmelo Ferlito says Malaysia should favour a simple GST over an increasingly complicated hybrid GST-SST system, while reducing other taxes and strengthening fiscal discipline.
An economist remains sceptical that the government’s proposed hybrid of the Goods and Services Tax (GST) and existing Sales and Service Tax (SST) would work effectively, arguing that a tax system is most efficient when it is simple, transparent and stable.
Pacific Research Centre of Malaysia CEO Dr Carmelo Ferlito said the proposal should not be confused with the introduction of a completely new “hybrid tax system”, as the government was instead looking at incorporating elements of GST into the already implemented SST.
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About this story
- Source
- The Rakyat Post
- Originally published
- Aug 20, 2026
- Updated here
- Aug 20, 2026
- Produced by
- Malaysia Times desk (brief) — reporting by the source
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