The implementation of the Goods and Services Tax (GST) does not burden the people as it is not imposed on basic goods, said Treasury secretary-general Tan Sri Dr Mohd Irwan Serigar Abdullah.

He said the implementation of the GST, however, had a lot of positive overall impact on the people when the tax being returned by the government in various forms of facilities or infrastructure development and incentives.

"GST does not burden the people because it is not imposed on basic food items such as rice, sugar and cooking oil.

"GST is only imposed on value-added goods because it is a tax especially for luxury goods...the more luxury goods are used or purchased, the more GST need to be paid," he told reporters after launching the Melaka-level MOF (Ministry of Finance) Programme with the People at Maahad Tahfiz Sulaimaniyyah in Masjid Tanah here today.

Also present were Puteri Umno chief Mas Ermieyati Samsudin, Umno executive secretary Abdul Rauf Yusoh.

Meanwhile, Mohd Irwan said the MOF with the People Programme was a nationwide tour to provide information and understanding on the services and activities undertaken by the government so that the people would not be deceived by false news.

"Lately, a lot of false or unfounded news about the government are disseminated by irresponsible quarters in an effort to weaken the people's confidence in the government which need to be well addressed like claims that the country will be bankrupt," he said.

He said the country's financial and economic position was at a good level and the economy was expected to grow between 5.5 and six percent this year and it proved that the existing government was capable of serving the people well.

Mohd Irwan said the sustainable economic growth would also be returned to the people including through the 1Malaysia People's Aid (BR1M), the construction of hospitals, schools and new roads. - Bernama