Economy

Implementing GST is Oppressive and Haram!

Although much criticism has been thrown by numerous parties, the Malaysian government is still adamant in its decision to implement the Goods and Services Tax (GST) beginning this 1st April 2015. The resolve of the Malaysian government in implementing GST, replacing the current Sales and Services Tax (SST), reaches the point where it even used government Islamic institution JAKIM to deliver a fatwa to legalise GST. Television, radio and various government agencies have been heavily mobilised to explain and convince the people of the ‘benefits’ of GST.

GST is basically a copy of the Value Added Tax (VAT) system which is implemented in Europe and is said to be much better than SST. Under GST, a 6% tax will be levied at each level, from the manufacturer, purveyor, retailer and consumer which will result in an increase of price of goods and services. Even though the government has been working hard to create the deception that GST will not burden the people, the reality is far from it. A rational mind will not succumb to such lies. In reality, even before the GST is implemented, prices of numerous goods and services have already soared!

The public have long been burdened by the persistent rise in fuel prices and by a flawed economic management that have given rise to increasing prices of goods and services. Now, the people have to face more price hike under the GST. GST is thus nothing more than another step to further suppress the people. JAKIM on the other hand, plays the role of ‘cleaning’ the sins of the government by issuing fatwa that GST is halal, justified by the fiqh method of maslahat and avoiding mudarat whereas it is very clear that what is done by the government is haram as the government is actually robbing the people’s property in bright daylight! Allah سبحانه وتعالى says in Al-Quran,

يَـأَيُّهَا الَّذِينَ ءَامَنُواْ لاَ تَأْكُلُواْ أَمْوَلَكُمْ بَيْنَكُمْ بِالْبَـطِلِ إِلاَّ أَن تَكُونَ تِجَـرَةً عَن تَرَاضٍ مِّنْكُمْ

“O you who believe! Eat not up your property among yourselves unjustly except it be a trade amongst you, by mutual consent.”

(an-Nisa’ 4:29)

Rasulullah صلى الله عليه وسلم said,

‏‏كل المسلم على المسلم حرام‏‏ دمه وعرضه وماله‏

The blood, honour and property of a Muslim is inviolable for another Muslim [Narrated by Muslim].

Based on the above evidences, Islam has clearly forbidden anyone, including the government to usurp the properties of others. Implementation of GST, SST or any kind of taxation on the people are clear forms of usurpation.

The justification of maslahat used by JAKIM in condoning the decision of the government is strayed far from the truth. This is because maslahat does not amount to a Sharii’ evidence, let alone when it contradicts Shariah evidences.

Hizb ut Tahrir / Malaysia urges the government of Malaysia to call off the implementation of GST as it is an oppressive and sinful decision. Hizb ut Tahrir / Malaysia would like to remind the Ummah that the implementation of GST is forbidden and is part of a systematic oppression framework within capitalist state which must be destroyed to its core and replaced with the Khilafah State upon the method of the Prophethood.

Abdul Hakim Othman

Head of the Media Office of Hizb ut Tahrir in Malaysia

Saturday 1st Jumada II 1436 AH

21/03/2015 CE

Ref: HTM/PR/001/15