Taxman won't be smiling when he comes knocking, dodgers warned
PARLIAMENT | The Inland Revenue Board (IRB) will not be “friendly” when it launches a dragnet against Malaysians who have not paid their taxes or stashed their wealth abroad, warns Deputy Finance Minister Amiruddin Hamzah.
Amiruddin said this hard approach would be adopted when the deadline for the Special Voluntary Disclosure Programme (SVDP) ends in September...
PARLIAMENT | The Inland Revenue Board (IRB) will not be “friendly” when it launches a dragnet against Malaysians who have not paid their taxes or stashed their wealth abroad, warns Deputy Finance Minister Amiruddin Hamzah.
Amiruddin said this hard approach would be adopted when the deadline for the Special Voluntary Disclosure Programme (SVDP) ends in September.
"When we want to collect something from the people, of course (we have to) take the friendly approach which is more acceptable.
"But when the people do not come forward (to declare their income) voluntarily and when we go after (them), it will not be so friendly," he told the Dewan Rakyat during the question-and-answer session this morning.
Amiruddin said the government would also monitor potential tax evasion via the Automatic Exchange of Information (AEOI), which allows the government to access information of overseas' bank accounts held by Malaysians.
He was responding to Wong Kah Woh (Harapan-Ipoh Timur), who asked what approaches IRB would take with regard to the SVDP.
The IRB has recorded a total 486,360 case of voluntarily disclosure of asset under this scheme between Nov 3, 2018 and June 23, 2019, according to Amiruddin.
The schemne was announced during the tabling of Budget in order to encourange full disclosing of undeclared income as part of the government's initiative to increase revenue.
The scheme which commenced from Nov 3, 2018 to June 30, 2019, has extended to September 30.
Those who declared before June 30 will be imposed 10 percent penalty while those who declared from July 1 to Sept 30, will be imposed 15 percent penalty.
After the scheme expires on Sept 30, the penalty rates would range range from 80 percent to 300 percent.
The IRB has recorded 486,360 cases of voluntarily asset disclosure under this scheme between Nov 3, 2018, and June 23, 2019, according to Amiruddin.
The scheme was announced during the tabling of Budget 2018 to encourage the full disclosure of undeclared income as part of the government's initiative to increase its tax revenue.
The scheme was originally scheduled to take place from Nov 3, 2018, to June 30, 2019, but it has been extended to Sept 30.
Taxpayers who make their declarations before June 30 will be subjected to a 10 percent penalty while those who declared from July 1 to Sept 30, will be subjected 15 percent penalty.
After the scheme expires on Sept 30, the penalty rates would range from 80 percent to 300 percent.
