While it is true that the administration of any Goods and Services Tax system is complex, in simple terms, the tax is revenue to the government concerned, and traders registered for GST purposes are in effect collection agents for the government. Whether they receive a GST refund is dependent on whether their input taxes( i.e. the GST they pay) exceeds their output taxes (i.e. GST they collect).
This statement on the GST Consolidated fund reported by the Malay Mail does not reflect that simple fact:
Attorney General Tommy Thomas said channelling good and service tax (GST) revenue directly into federal government’s consolidated revenue account was wrong.