NEWS

We can trace companies who dodge SST, says Guan Eng

Bernama

Published
Modified 22 Sep 2018, 8:46 am

Companies that are subject to the sales and service tax (SST) will not be able to evade paying it as the government has a big database system to detect their information.

Finance Minister Lim Guan Eng said the system, inherited from the implementation of the goods and services tax (GST), had previously registered some 472,000 companies.

“However, under the SST, only 100,000 companies out of that figure are subject to the tax, and we can trace those who attempt to evade from paying (taxes).

“At the same time, we are not only depending on our officers to investigate these companies one by one because we will also use a computerised system. When a company’s name is up in the system, it’s difficult to avoid,” he said.

Lim said this in a press conference after a briefing on SST to industry players in Batu Pahat today.

Also present were adviser to Finance Minister Ooi Kok Seng and the Customs Department deputy director-general Paddy Abd Halim.

Lim said company owners still have time to correct any mistakes or register companies under the SST as the government is still adopting a soft approach.

However, when this soft-approach period is over, he said, the government will take action in accordance with the specified laws.

“Now it’s easy, go to the website (Customs Department) and register. Even if they want exemption (tax), we will give automatically, but before that, we will check.

“Like I said, we will use soft approach first. We will give them the opportunity to correct (their mistakes). But after that, we will enforce the laws, maybe beginning next year.

“We cannot be soft forever and hope that the companies do not take advantage (of this),” he added.

- Bernama

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