KUALA LUMPUR (Aug 7): Finance Minister Lim Guan Eng today accused the previous Barisan Nasional government of stealing the goods and services tax's (GST's) input tax that was to be returned to manufacturers two weeks after it was collected.

The trust fund that held the input tax was actually "empty", he alleged, which was why the former Government could not return the sum in time, despite the two-week promise.

Lim made the accusation when repeatedly asked by Rembau Member of Parliament Khairy Jamaluddin to state when the new Government would return the input tax to the manufacturers.

“The money was supposed to be refunded to the companies within two weeks of them being collected as advance under the GST regime. But two years later, the former Government has yet to refund it.

“The money was paid as advance by businesses but it was put into a consolidated fund instead and it has been used. The previous Government robbed the GST.

“You ask me when and why it has not been refunded? It is because it [the trust fund] is empty. There is nothing to give. Are you aware of this?” he asked Khairy in a heated exchange over the tabling of the Sales Tax Bill 2018.

Khairy initially defended the delay in the input tax refund, saying there were six to seven billion dispute cases which the Customs department had refused to refund as the latter questioned the validity of the collection process.

Khairy asked the question on the refunds while pointing out the current government has claimed it would be able to fix the system as it purported to be a competent, accountable and transparent (CAT) government.

In return, Lim asked if Khairy had known the trust fund was empty and that was why BN had called for the GST to be revamped.