KUALA LUMPUR, Feb. 27 -- The implementation of the High-Value Goods Tax (HVGT) will remain on hold as the federal government is placing higher priority on other fiscal reforms announced in 2024, said the Finance Ministry.

It said this in a written reply to Machang MP Wan Ahmad Fayhsal Wan Ahmad Kamal, who sought clarification on the government's plans and impact assessments for the tax, which was initially proposed in 2023.

"At present, the implementation of HVGT is still postponed because the government must prioritize several fiscal reform measures that were newly introduced in 2024, such as the imposition of tax on low-value goods and the retargeting of diesel subsidies," he explained in his parliamentary reply.

HVGT was initially p...