PETALING JAYA, Feb 20 — The Royal Malaysian Customs Department (RMCD) has target to collect RM3 billion in Goods and Services Tax (GST) this year, through its Customs Blue Ocean Strategy (CBOS) 3.0.

Director General Datuk Seri Khazali Ahmad said about RM1.5 billion was collected through the CBOS 2.0 last year.

He said the department aims to inspect about 200,000 of the 433,000 GST-registered companies in the CBOS 3.0 operation from today until Dec 31.

"We launched this operation to increase the compliance level towards the GST, and primarily through education.

"We will now offer face to face advice to business owners rather than take the path of enforcement,” he told members of the media after launching the CBOS 3.0 at the Kelana Jaya Customs Complex here, today.

He said some 600 officers from the GST, Compliance and Enforcement unit would be involved in CBOS 3.0.

"Business owners will be given a month’s time to settle their taxes properly after being adviced by officers. If they stubbornly refuse, the RMCD will not hesitate to take legal action and impose a penalty of up to 40 per cent of any underpaid amount,” he said.

Khazali also reminded business owners to not make any GST payments to officers conducting the inspection.

He said to date only 670 online companies had registered for the GST.

The RMCD has targeted to collect RM42 billion in GST for this year.

The GST was launched on April 1, 2015. — Bernama