I saw this letter today at The Star’s Letters page and I truly felt sorry for the author. It must be hard for the author right now pondering how he is going to feed his family after being retrenched. Here is a copy of the letter appealing the government to exempt people aged 50 and above who got retrenched from paying taxes.

Don’t tax retrenched workers

I AM a Malaysian in my early 50s, and was recently served with notice of retrenchment by my employer. I appeal to the Government not to tax the payment I received as compensation for loss of employment.

Even though the tax relief amount per year of service was revised during the mini-budget, long-serving workers like me still have to pay a substantial amount of tax on our retrenchment benefit.

My MNC employer was caring enough to provide a retrenchment benefit higher than the statutory requirement. Hence the retrenchment benefit I received exceeds the tax relief allowed by the Government, and I have to pay tax on the balance. I can ill-afford to pay the tax in my present jobless state.

At my age, it is extremely challenging, if not impossible, to find a new position. I depend on every sen of my retrenchment payout to keep my family afloat while I search desperately for alternative sources of income during these trying economic times.

Many long-serving colleagues around my age are in the same tenuous position.

I appeal to the Government to demonstrate more compassion and sympathy for our plight. We have been productive members of the workforce and faithful taxpayers over the years, but now find ourselves in dire straits due to the economic downturn.

Please provide full tax exemption on total compensation for loss of employment received by retrenched employees, especially those above 50 years of age.

50+ RETRENCHED MALAYSIAN,

George Town.

I wish that this kind situation will never happen to me or anyone that I know. But in this age of downsizing, job security is truly a myth.

Honestly, I doubt that the government is going to waive the tax on people age 50 and above. The government wouldn’t care less if the author and his colleagues worked hard and pay taxes all these while. Once the government tasted money, it always wanted more and more….