EXEMPTION OF SERVICE TAX FOR ONE PRINCIPAL CREDIT CARD & SUPPLEMENTARY CARD ISSUED TO SPOUSE & CHILDREN

I refer to the recent proposed implementation of RM50 service tax on principal credit cards and RM25 service tax on supplementary cards as announced in the recent budget for year 2010.

I agree with the effort by the government under the leadership of Dato’ Seri Najib Tun Razak to implement measures to encourage prudent financial management by Malaysians and to curb excessive borrowings via multi credit cards.

Undoubtedly, there are many Malaysians which abuse credit cards as a source of borrowings. However, there are also many Malaysians who genuinely use credit cards for:-

1. Cost Savings Transactions
Such cost saving transactions includes purchase of goods & services via internet (e.g. purchase of airline tickets & hotel reservations, payment of phone, electricity and other utility charges, subscription of online news portal, purchase of computer peripherals, etc); and

2. Reduction of Carriage of Physical Cash
The reduction of carriage of physical cash by many Malaysian is due to security factor, including avoiding theft of the physical cash.

3. Providing Emergency Funds for Family Members
This includes issuance of supplementary credit cards to spouse and children when the principal card holder is not around, such as when the children are studying away from home and for actual emergency events (e.g. when one of the family members is hospitalized away from home).

As such, the efforts by government to encourage prudent financial management and curb excessive borrowings via multi credit cards should not be seen as giving negative impact towards the growth of the e-commerce industry in Malaysia and penalizing current genuine credit cards user who don’t actually intend to use the credit cards as a source of borrowings.

Thus, I would like to propose for the government to consider allowing:-

1. exemption of the payment of RM50 service tax for only one principal credit card for each Malaysian; and

2. exemption of the payment of RM25 service tax for supplementary card issued to spouse and children.

PAS-led Kedah Government Should Respect Proper Appeal Channel

I refer to the reported decision by Kedah State Assembly Speaker Datuk Dr Abdul Isa Ismail to withdraw the invitation to Kota Siputeh Assemblyman Dato’ Abu Hassan Sarif for the upcoming state assembly scheduled on 17th November, 2009.

Chronology of Events:-
On 17th August, 2009, the Kedah State Assembly Speaker had notified the Election Commission of the vacancy for the Kota Siputeh state seat after alleging that the Kota Siputeh Assemblyman had failed to attend two consecutive state assembly meetings.

However, on 1st September, 2009, the Election Commission chairman Tan Sri Abdul Aziz Mohd Yusof decided that there was no vacancy for Kota Siputeh and that the state seat was still held by Dato’ Abu Hassan Sarif.

On 1st October, 2009, the Kedah State Assembly Speaker filed an application at the Kuala Lumpur High Court to challenge the Election Commission's decision over Abu Hassan's status as Kota Siputeh’s assemblyman, including an injunction to stop him from carrying out his duties as a state assemblyman.

The Kuala Lumpur High Court had set the hearing date of the case on 12th November, 2009 at the request of the parties to resolve the matter before the upcoming state assembly meeting.

It is unfortunate that the Kedah State Assembly Speaker would resort to withdraw the invitation to Dato’ Abu Hassan Sarif for the upcoming state assembly meeting even before the disposal of the Kuala Lumpur High Court case.

The Kedah State Assembly Speaker under the Pas-led Kedah state government should learn to respect the proper channel of appeal if they are dissatisfied with any decision made by the relevant body. They should not impatiently take matters in their own hands before any decision being made by the Kuala Lumpur High Court.

As such, the Kedah State Assembly Speaker under the Pas-led Kedah state government must immediately retract the withdrawal of invitation to Dato’ Abu Hassan Sarif for the upcoming Kedah State Assembly meeting and should in the future, stop taking matters in their own hands before any decision being made by the relevant authority or judiciary.

PENUBUHAN PASUKAN PETUGAS PERINGKAT TINGGI TETAP BAGI MENYIASAT LAPORAN TAHUNAN KETUA AUDIT NEGARA

Saya merujuk kepada penubuhan pasukan petugas peringkat tinggi yang diketuai oleh Tan Sri Mohd Sidek bin Haji Hassan, Ketua Setiausaha Negara bagi menyiasat laporan Ketua Audit Negara 2008. Pasukan tersebut yang ditubuhkan atas arahan Dato Seri Najib Tun Razak, Perdana Menteri Malaysia, juga diamanahkan untuk mengambil tindakan sewajarnya terhadap mereka yang bertanggungjawab ke atas penyelewengan kewangan dan salah guna kuasa yang disebut dalam laporan itu.

Saya menyokong tindakan kerajaan untuk menubuhkan pasukan petugas peringkat tinggi tersebut bagi menjamin ketelusan dalam pentadbiran kerajaan, samada di peringkat kerajaan pusat ataupun di peringkat negeri.

Justeru, saya berharap agar kerajaan, di bawah kepimpinan Dato Seri Najib Tun Razak, dapat mempertimbangkan supaya pasukan petugas peringkat tinggi tersebut, di bawah Ketua Setiausaha Negara:-

1. akan dijadikan suatu pasukan petugas peringkat tinggi TETAP yang akan meneliti tiap-tiap laporan tahunan Ketua Audit Negara mulai tahun 2008; dan

2. akan menyiarkan suatu laporan tahunan berkenaan siasatan dan tindakan yang telah diambilnya ke atas laporan Ketua Audit Negara. Laporan siasatan tahunan ini diharap akan dibentangkan di sidang Parlimen bagi setiap tahun yang berkenaan.

Cadangan ini adalah bertujuan bagi memastikan ketelusan dalam pentadbiran negara, (di peringkat kerajaan pusat dan juga negeri) dan tindakan sewajarnya diambil ke atas semua penyelewengan kewangan dan salah guna kuasa yang dirujuk di dalam mana-mana laporan Ketua Audit Negara, dan bukannya hanya bagi laporan 2008. Ini merupakan suatu tindakan bagi ketelusan pentadbiran jangkamasa panjang.