Tuesday, December 19, 2006

What if Christians pay less tax than Catholics ?


Imagine this scenario, Christians will pay ZERO income tax and Catholics pay the bulk of income tax. To rub it in, both will not only continue to enjoy the same benefits accorded to tax payers, but Christians will enjoy more benefits !

Imagine this scenario.
Of course this is a fictitious scenario. Any nation implementing this policy will quickly go bankrupt, as the majority of their taxes are channeled to non-State resources. Coupled this with the fact that the majority of the tax payers contribute to non-State coffers, yet enjoy State benefits and services.


But, in Malaysia, this is true, almost.
Muslims, in Malaysia deduct the amount they donate to zakat (a form of Islamic donation, akin to "alms") from their payable taxes.

I reproduce here a wikipedia entry

In Malaysia, there is an income tax. Money paid to "zakat" or the obligatory alm Muslims must give to the poor reduces the tax to be paid while money paid to other religions under similar circumstances is not given similar treatment:
It reduces tax only if the particular beneficiary has obtained such status from the government, which is difficult in practice. Even then, if money is donated to a non-Muslim religion it is only deducted from the income on which the amount of tax is based, while zakat is deducted from the amount of tax itself.
For example, suppose a person earning RM 50,000 owes a tax of RM 3,000, and donates RM 1,000 to his religion. If he were non-Muslim he would then adjust his assessed income to RM 49,000.
If he were Muslim then he would only have to pay RM 2,000 as the RM 1,000 would be deducted from the amount owed

Bear in mind, that Muslims enjoy benefits accorded to them from the State, contributed jointly in a 'secular fashion' by non-Muslims and Muslims tax-payers alike.
However, in the crazy world of Malaysia, Muslims not only pay the least tax, they gobble up the lion's share of State resources in the form of subsidies, free education, uncompetitive state contracts, bail-outs for failed projects and almost every form of assistance.

Does this even compute ?
You contribute little, you take away even more from the coffers. Is this economically sustainable ? Only time will tell.

1 comment:

FAi said...

Malaysia untuk melayu..