KUALA LUMPUR: A request for the government to lower the tax rates but increase subsidies at the same time is deemed not possible, said the Prime Minister Tun Dr Mahathir Mohamad.

According to him, there must be a balance between taxes and subsidies in order for the government to generate income and give out subsidies.

"I read in the newspapers what the people want is lower taxes and an increase in subsidies, that is contrary. You can't have lower taxes and then increase in subsidies.