Tax evaders barred from leaving country
Tax evaders, watch out. You may be barred from leaving the country if you have not paid your dues.
In light of this, thousands who have been blacklisted by the Inland Revenue Board have had to settle what they owe, The Star reported today.
Tax evaders, watch out. You may be barred from leaving the country if you have not paid your dues.
In light of this, thousands who have been blacklisted by the Inland Revenue Board (IRB) have had to settle what they owe, The Star reported today.
The IRB has engaged the support of the Immigration Department to enforce the travel ‘blacklist’.
IRB corporate communications director Nor Azirah Mohd Said told The Star that the 'no exit' order will apply to all tax offenders, regardless of their purpose for leaving the country.
The authority to issue a stoppage order, or to blacklist a tax defaulter from leaving the country, is granted to the IRB under Section 104 of the Income Tax Act 1967 (Act 53).
However, Nor Azirah have his assurance that tax offenders would not be held in detention at Immigration checkpoints.
“If the offender wishes to continue on his or her journey, the person is expected to pay all liabilities,” she said.
For 2014, the IRB has successfully recovered RM8.37 million from those who had been planning to leave the country.
The IRB is chasing after 97,343 defaulters to get them to settle an accumulated unpaid tax totalling a whopping RM2.89 billion.
Offences may occur in several forms, including non-payment or a deliberate avoidance of tax, as well as a false declaration of income tax returns, resulting in under-payment of taxes.
Under the Act, any person who is found guilty of failing to furnish an income tax return may be liable to a fine of between RM200 and RM2,000 or a jail term not exceeding six months or both.
Any person who makes an incorrect return by omitting or understating income received may be brought to court and, upon conviction, be liable to a fine of between RM1,000 and RM10,000.


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