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Yong slams DBKK over tax move
Yong slams DBKK over tax move

Daily Express

timea day ago

  • Business
  • Daily Express

Yong slams DBKK over tax move

Published on: Monday, June 02, 2025 Published on: Mon, Jun 02, 2025 Text Size: Yong called on DBKK to adjust its mindset and stop aligning with Federal LHDN enforcement while the billions owed to this region remain unpaid. Kota Kinabalu: Former Chief Minister Datuk Seri Yong Teck Lee criticised City Hall (DBKK) for assisting Federal tax authorities in pursuing small traders while the State is denied billions in constitutional revenue. 'Why is DBKK playing Federal tax collector role?' Yong said in a statement, here, Sunday, condemning DBKK's collaboration with the Inland Revenue Board (LHDN) in targeting hawkers labelled as 'inactive' taxpayers. He said LHDN collected RM5.7 billion from Sabah in 2024 and targets RM6.2 billion for 2025, averaging RM6 billion annually. 'This excludes other tax revenues collected by Customs and other Federal agencies in Sabah. Despite these substantial collections, Sabah has not received its rightful 40 per cent constitutional share amounting to RM2.4 billion from the RM6 billion in tax revenues. Instead, Sabah receives only an interim payment of RM600 million, a figure plucked from nowhere,' he said. Yong said there is absolutely no reason for the Federal Government to delay making annual payments of at least RM2 billion to the Sabah Government. He said the targeted hawkers and micro businesses are not major tax evaders but small, informal traders already battling rising costs, subsidy cuts and declining purchasing power. 'Enforcing tax compliance in this climate, while RM2 billion in Sabah's share remains unreturned, only worsens economic fragility and damages local economic resilience,' he said. He called on DBKK to adjust its mindset and stop aligning with Federal LHDN enforcement while the billions owed to this region remain unpaid. 'DBKK should not contradict its role as a local government agency in uplifting livelihoods in Kota Kinabalu city,' he said. Yong said until the Federal Government honours the 40 per cent entitlement without further delay, tax enforcement in this region should be re-evaluated, paused if necessary and guided by consultation with the Sabah Government and Sabah business organisations. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia

Halt Sabah tax collection until revenue sharing sorted, says Yong
Halt Sabah tax collection until revenue sharing sorted, says Yong

Free Malaysia Today

time2 days ago

  • Business
  • Free Malaysia Today

Halt Sabah tax collection until revenue sharing sorted, says Yong

SAPP president Yong Teck Lee said the federal government should not delay making annual payments of at least RM2 billion to Sabah. (Facebook pic) PETALING JAYA : Tax collection should be suspended in Sabah until the state receives its full entitlement of net shared revenue, says Yong Teck Lee, a deputy chairman of the ruling GRS coalition. Yong, a former chief minister, said Sabah continues to miss out on its share of revenue to which it is entitled under the constitution. He said this year's RM600 million special grant from Putrajaya, though an increase from previous years, was 'a figure plucked out from nowhere'. 'We call on the federal government to honour the 40% net revenue entitlement without further delay,' Yong said in a statement. 'Until then, tax enforcement in Sabah should be re-evaluated, paused if necessary, and guided by consultation with the Sabah government and Sabah business organisations.' Yong, who is president of the Sabah Progressive Party, also questioned Kota Kinabalu City Hall's partnership with the Inland Revenue Board (LHDN) to identify inactive taxpayers in Sabah, arguing that these were mostly petty traders and not big-time tax evaders. He said enforcing tax compliance as petty traders battled rising costs and the people's declining purchasing power would only damage the local economy. 'DBKK should stop aligning with federal LHDN enforcement while the billions owed to this region remain unpaid. It should stop playing the role of federal tax collector to hunt down the so-called inactive tax payers.' Yong said LHDN recently announced it had collected RM5.7 billion in taxes from Sabah last year, and hoped to collect RM6.2 billion in 2025. He said the amount was equal to an average of RM6 billion in taxes collected in these two years, of which 40% would amount to RM2.4 billion. 'There is absolutely no reason for the federal government to delay making annual payments of at least RM2 billion to the Sabah government,' said Yong. The revenue sharing formula has been a contentious issue for decades. Sabah politicians have called for the federal government to honour Sabah's entitlement to 40% of the amount which exceeds the net revenue derived in 1963. Use of the formula has been suspended since 1974, with the federal government paying increased special grants to Sabah and Sarawak. The Sabah Law Society has been granted leave to pursue a judicial review of the state's revenue entitlement, with the case to be heard on July 7.

DBKK urged to stop acting as federal tax collector
DBKK urged to stop acting as federal tax collector

Borneo Post

time3 days ago

  • Business
  • Borneo Post

DBKK urged to stop acting as federal tax collector

Yong KOTA KINABALU (June 1): Kota Kinabalu City Hall (DBKK) should stop playing the role of federal tax collector to hunt down inactive taxpayers, said former chief minister Datuk Yong Teck Lee. He said these hawkers and micro businesses are not major tax evaders. They are small, informal traders already battling rising costs, subsidy cuts, and declining purchasing power. Yong said the CEO of Lembaga Hasil Dalam Negeri Malaysia (Inland Revenue Board) had announced that LHDN Sabah collected RM5.7 billion in taxes from Sabah in 2024. LHDN also targets tax revenues of RM6.2 billion for this year 2025. This means an average of RM6 billion in taxes from Sabah per year for 2024 and 2025 alone. 'It is not rocket science that 40% of that RM6 billion tax revenues is RM2.4 billion. This RM6 billion tax revenues excludes other tax revenues collected by the Customs Department and other federal agencies in Sabah. 'Yet Sabah has not received its rightful 40 per cent share of that revenue that Sabah is entitled to under the constitution,' he said in a statement on Sunday. Yong said there is absolutely no reason for the federal government to delay making annual payments of at least RM2 billion to the Sabah government. Instead, Sabah is paid an interim amount of only RM600 million, which is a figure plucked from nowhere. He said enforcing tax compliance in this climate, while RM2 billion in Sabah's share remains unreturned, only worsens economic fragility and damages local economic resilience. 'DBKK must adjust its mindset. It should stop aligning with federal LHDN enforcement while the billions owed to this region remain unpaid. DBKK should not contradicts its role as a local government agency in uplifting livelihoods in Kota Kinabalu city,' said Yong. He called on the federal government to honour the 40 per cent entitlement without further delay. Until then, tax enforcement in this region should be re-evaluated, paused if necessary, and guided by consultation with the Sabah government and Sabah business organisations.

RM600 million ‘plucked from nowhere', Sabah owed billions: Yong
RM600 million ‘plucked from nowhere', Sabah owed billions: Yong

Daily Express

time3 days ago

  • Business
  • Daily Express

RM600 million ‘plucked from nowhere', Sabah owed billions: Yong

Published on: Sunday, June 01, 2025 Published on: Sun, Jun 01, 2025 Text Size: KOTA KINABALU: Former Chief Minister Datuk Seri Yong Teck Lee ( pic ) has criticised the federal government for failing to return Sabah's constitutional 40 per cent revenue entitlement, despite Inland Revenue Board (IRB) collecting RM5.7 billion in 2024 and targeting RM6.2 billion this year from the State. Yong, also SAPP President, said the average of RM6 billion collected annually from Sabah means the state is owed at least RM2.4 billion each year, yet receives only an interim payment of RM600 million, a figure he described as 'plucked from nowhere.' He also questioned why the City Hall (DBKK) is aiding IRB in targeting small-time hawkers for tax enforcement while Sabah's legitimate revenue remains unpaid, calling the move a contradiction of DBKK's role in uplifting local livelihoods. He said these hawkers and micro businesses are not major tax evaders but struggling informal traders facing rising costs and reduced purchasing power, warning that such enforcement damages economic resilience. Yong urged the federal government to immediately honour the 40 per cent entitlement and called for DBKK to cease acting as a federal tax collector until proper revenue-sharing is restored. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia

Ex-Sabah CM ‘disgusted' with parties' fixation on seats instead of issues
Ex-Sabah CM ‘disgusted' with parties' fixation on seats instead of issues

Free Malaysia Today

time27-05-2025

  • General
  • Free Malaysia Today

Ex-Sabah CM ‘disgusted' with parties' fixation on seats instead of issues

Former Sabah chief minister Yong Teck Lee said many Sabahans had no idea about the issues that political parties would champion and fight for if elected. (Facebook pic) PETALING JAYA : Former Sabah chief minister Yong Teck Lee has urged political parties to talk about the issues they want to champion instead of the number of seats they want to contest in the upcoming state election. The Sabah Progressive Party (SAPP) president said he was disgusted with reports of parties scrambling for seats, including entities from Peninsular Malaysia, The Borneo Post reported. Yong said Sabahans want to know what the political parties were championing and would fight for if elected to form the next Sabah government. 'So far, Sabahans like myself have no idea what some political parties and leaders are fighting for. They only talk about seats, seats and more seats. 'How about talking about the issues for this coming Sabah election?' he was quoted as saying. Yong took aim at Pakatan Harapan (PH) and Barisan Nasional (BN) in particular, questioning whether the two coalitions would push for Sabah and Sarawak to be allocated 35% of parliamentary seats in the country and other issues as stipulated under the Malaysia Agreement 1963 (MA63). 'Everyone, including Malayan parties, have joined the bandwagon of championing MA63 after the 2008 general election when BN for the first time lost its two-thirds parliamentary majority,' he added. SAPP is a component of ruling state coalition Gabungan Rakyat Sabah (GRS), led by Hajiji Noor. GRS and PH are currently allies in Hajiji's state administration while BN sits in the opposition. However, PH and BN have announced an alliance for the state polls, while talks are ongoing to include GRS in the pact. On Sunday, PKR deputy president Nurul Izzah Anwar expressed hope that her party would be able to contest a minimum of 13 seats in the upcoming Sabah election. The following day, Sabah DAP deputy chief Chan Foong Hin said the state chapter was eyeing at least 10 seats in the state polls. Sabah Umno had said it hoped to contest 40 seats in the 17th state election. SAPP's fellow GRS component Parti Solidariti Tanah Airku said today that the party was looking to contest 15 seats, while Parti Gagasan Rakyat Sabah vice-president Masiung Banah said GRS was eyeing 52 seats at least.

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