Latest news with #InlandRevenueBoard
Malaysian Reserve
3 hours ago
- Business
- Malaysian Reserve
HASiL ramps up international efforts to tackle tax evasion
THE Inland Revenue Board (HASiL) is stepping up its global cooperation to track down taxpayers who fail to comply, including those transferring assets or income overseas. Its Intelligence and Profiling Department director Muhammad Azhari Tamrin @ Thamrin told Bernama Radio that the agency is harnessing international tools, such as the Exchange of Information (EOI) and the Common Reporting Standard (CRS), to access financial data shared by foreign authorities. 'Tax evaders are becoming increasingly sophisticated. They shift profits offshore, set up offshore companies and use international bank accounts. These are tactics that conventional methods struggle to detect,' he said. In response, HASiL has taken proactive steps by deepening partnerships with tax authorities abroad to share information and trace these financial footprints more effectively. Speaking on the radio programme POV: Perspektif Bukan Persepsi, hosted by Kamal Affandi Hashim and focused on tax evasion, Muhammad Azhari explained that Malaysia's participation in the Forum on Tax Administration and the ASEAN network has helped it adopt best practices and strengthen its capacity through big data analytics and risk profiling. Alongside enforcement efforts, HASiL has also rolled out public education campaigns and adopted a 'Compliance Before Enforcement' approach to encourage voluntary tax compliance. Social media, he added, is an increasingly valuable resource in uncovering suspicious financial activity. 'We analyse lifestyles displayed online and compare them with declared incomes, looking out for undeclared businesses, hidden assets and social or business networks,' he noted. Where discrepancies emerge, he said HASiL will conduct audits and investigations, actions that are targeted and data-driven rather than arbitrary. Muhammad Azhari also urged the public to act as watchdogs, encouraging them to report individuals or companies that live beyond their declared means or operate without proper registration. 'Tax evasion not only drains public funds but also undermines fairness for honest taxpayers,' he said. Information can be submitted securely through HASiL's e-Tax Evasion Reporting System at with protections under the Income Tax Act 1967. Convicted tax evaders risk penalties of up to 300 per cent of the owed tax, fines of up to RM20,000, imprisonment of up to three years, or both. 'Fighting tax evasion is a shared responsibility. It is essential to ensure that national revenue is collected fairly for the benefit of all Malaysians,' said Muhammad Azhari. — BERNAMA
The Sun
5 hours ago
- Business
- The Sun
HASiL ramps up international efforts to tackle tax evasion
KUALA LUMPUR: Malaysia's Inland Revenue Board (HASiL) is stepping up its global cooperation to track down taxpayers who fail to comply, including those holding assets or income overseas. Its Intelligence and Profiling Department director Muhammad Azhari Tamrin @ Thamrin told Bernama Radio that the agency is harnessing international tools, such as the Exchange of Information (EOI) and the Common Reporting Standard (CRS), to access financial data shared by foreign authorities. 'Tax evaders are becoming increasingly sophisticated. They shift profits offshore, set up offshore companies and use international bank accounts. These are tactics that conventional methods struggle to detect,' he said. In response, HASiL has taken proactive steps by deepening partnerships with tax authorities abroad to share information and trace these financial footprints more effectively. Speaking on the radio programme POV: Perspektif Bukan Persepsi, hosted by Kamal Affandi Hashim and focused on tax evasion, Muhammad Azhari explained that Malaysia's participation in the Forum on Tax Administration and the ASEAN network has helped it adopt best practices and strengthen its capacity through big data analytics and risk profiling. Alongside enforcement efforts, HASiL has also rolled out public education campaigns and adopted a 'Compliance Before Enforcement' approach to encourage voluntary tax compliance. Social media, he added, is an increasingly valuable resource in uncovering suspicious financial activity. 'We analyse lifestyles displayed online and compare them with declared incomes, looking out for undeclared businesses, hidden assets and social or business networks,' he noted. Where discrepancies emerge, he said HASiL will conduct audits and investigations, actions that are targeted and data-driven rather than arbitrary. Muhammad Azhari also urged the public to act as watchdogs, encouraging them to report individuals or companies that live beyond their declared means or operate without proper registration. 'Tax evasion not only drains public funds but also undermines fairness for honest taxpayers,' he said. Information can be submitted securely through HASiL's e-Tax Evasion Reporting System at with protections under the Income Tax Act 1967. Convicted tax evaders risk penalties of up to 300 per cent of the owed tax, fines of up to RM20,000, imprisonment of up to three years, or both. 'Fighting tax evasion is a shared responsibility. It is essential to ensure that national revenue is collected fairly for the benefit of all Malaysians,' said Muhammad Azhari.
Borneo Post
a day ago
- Business
- Borneo Post
Govt urged to reconsider mandatory stamp duty on employment contracts
Tan KOTA KINABALU (June 3): The Sabah Association of Professional Accountants (SAPA) expresses concern over the recent directive by the Inland Revenue Board (LHDN Malaysia) requiring all employment contracts to be stamped in accordance with the Stamp Act 1949. 'While we recognise the importance of legal compliance and revenue collection, SAPA calls on the government to urgently consider exemptions or threshold limits, especially for small and medium enterprises (SMEs),' said its president, Datuk Tan Kok Liang. He said this policy places additional administrative and financial burdens on businesses — particularly in Sabah, where operating costs are already higher due to logistics, geographic challenges, and a more constrained labour market. 'The move to enforce stamp duty on all employment contracts, regardless of salary level or business size, risks creating unintended pressure on SMEs,' he said in a statement on Tuesday. The key concerns are as follows: Disproportionate impact on SMEs: Unlike large corporations, small businesses operate on tight margins. A blanket enforcement adds to compliance costs without proportional benefit. Administrative Burden: The need to process, submit and pay for stamp duty on every employment contract creates extra red tape, especially for businesses with high staff turnover or seasonal employment. Impact on formalised contracts: Over-regulation in the hiring process may discourage small businesses from formalising contracts thus placing employees in rural and semi-urban Sabah into vulnerable position. SAPA's recommendations: Introduce a Threshold Limit: Exempt employment contracts for positions with monthly salaries below a reasonable threshold (e.g. RM4,000), in line with many other tax relief measures. Provide Full or Partial Exemption for Micro and Small Enterprises: Particularly those with annual revenue below RM500,000 or fewer than 10 employees. Phase Implementation with Outreach: This includes sufficient time to meet up with the new requirements and a new implementation date of 1 January 2026 and approach with education and support will ease compliance. SAPA strongly urges the Ministry of Finance and the Inland Revenue Board to engage with industry stakeholders in Sabah and other less-developed states before blanket implementation. Public policy must consider regional disparities, business realities, and the broader objective of stimulating employment and economic growth. 'We are confident that with constructive dialogue, a balanced policy solution can be achieved that protects both the interests of the government and the resilience of our local business community,' said Tan. He added the Stamp Act must be modernised to reflect current practical realities rather than remaining rooted in outdated and regressive approaches. While its original intent and purpose — to provide legal certainty and protect the interests of contracting parties — remain important, these objectives must be interpreted in the proper context. The Act should not be used in a manner that causes undue inconvenience or serves merely as a revenue-generating tool. In the case of employment contracts, for instance, such agreements have long been executed and honored by both employers and employees without issue. This consistent practice demonstrates mutual respect and understanding of contractual obligations, regardless of whether the documents were stamped. Insisting on strict adherence to outdated requirements, especially where there is no dispute between parties, undermines the spirit of the law and creates unnecessary administrative burdens, he pointed out. 'It is time for a balanced approach — one that preserves the protective function of the Stamp Act but updates its application to align with modern business practices and realities' he said. Previous Article UMS water supply sufficient, says Shahelmey
Yahoo
a day ago
- Business
- Yahoo
Malaysian finance ministry warns against 'false' e-wallet subsidy scheme posts
"The following are the qualifying conditions for RM300 e-wallet subsidy for all groups that will be provided every month of 2025. Check now!" reads a Malay-language Facebook post on May 10. It includes a graphic with Prime Minister Anwar Ibrahim's "Malaysia Madani" policy framework logo and text that repeats the false claim. The post includes a link to an external website masquerading as the website for Touch 'n Go, a Malaysian digital payment and e-wallet service, where users are asked to input their national identity card and phone numbers to "check eligibility" for the purported subsidy. Similar posts surfaced elsewhere on Facebook, but the Malaysian government is not disbursing aid through e-wallets in 2025. The Ministry of Finance rejected the claims in a statement on its official Facebook page on May 4, calling the posts "false" (archived link). "If you're not sure, don't click and avoid being a victim of fraud!" it said. Malaysia announced it would allocate 13 billion ringgit in its 2025 budget as cash aid to lower-income groups (archived link). It is split into two categories -- one for groceries that is credited directly to a recipient's identity cards and another cash aid scheme disbursed in four phases to the recipient's bank account (archived link). The finance ministry also urged the public to go through the official channel -- Inland Revenue Board -- to check their eligibility for the cash aid (archived link).
AFP
a day ago
- Business
- AFP
Malaysian finance ministry warns against 'false' e-wallet subsidy scheme posts
"The following are the qualifying conditions for RM300 e-wallet subsidy for all groups that will be provided every month of 2025. Check now!" reads a Malay-language Facebook post on May 10. It includes a graphic with Prime Minister Anwar Ibrahim's "Malaysia Madani" policy framework logo and text that repeats the false claim. Image Screenshot of the false post, taken June 2 The post includes a link to an external website masquerading as the website for Touch 'n Go, a Malaysian digital payment and e-wallet service, where users are asked to input their national identity card and phone numbers to "check eligibility" for the purported subsidy. Similar posts surfaced elsewhere on Facebook, but the Malaysian government is not disbursing aid through e-wallets in 2025. y 4, calling the posts "false" (archived link). "If you're not sure, don't click and avoid being a victim of fraud!" it said. Image Screenshot of the finance ministry's Facebook post taken on May 29, 2025 Malaysia announced it would allocate 13 billion ringgit in its 2025 budget as cash aid to lower-income groups (archived link). It is split into two categories -- one for groceries that is credited directly to a recipient's identity cards and another disbursed in four phases to the recipient's bank account (archived link). The finance ministry also urged the public to go through the official channel -- Inland Revenue Board -- to check their eligibility for the cash aid (archived link).
