IRB targets RM118.5b in direct tax collection in 2016

Last year, the IRB collected about RM111.8 billion in direct taxes which comprised individual, corporate and cooperative income taxes; petroleum income tax for upstream petroleum industry, stamp duty and tax on land values. — AFP pic
Last year, the IRB collected about RM111.8 billion in direct taxes which comprised individual, corporate and cooperative income taxes; petroleum income tax for upstream petroleum industry, stamp duty and tax on land values. — AFP pic

Subscribe to our Telegram channel for the latest updates on news you need to know.


KUALA LUMPUR, March 14 — The Inland Revenue Board (IRB) expects to collect RM118.5 billion in direct taxes this year as compared to the earlier target of RM125.6 billion, the Dewan Rakyat was told.

In reply to Dr Ko Chung Sen (DAP-Kampar) during question time, Deputy Finance Minister Datuk Chua Tee Yong said the target was set in accordance with the recalibration of the Budget 2016.

He said last year, the IRB collected about RM111.8 billion in direct taxes which comprised individual, corporate and cooperative income taxes; petroleum income tax for upstream petroleum industry, stamp duty and tax on land values. 

In terms of fines or penalties for tax audit activities in the last five year period since 2011, IRB collected RM4.4 billion or 0.8 per cent of total direct tax collection.

“For fines or penalties from investigative activities conducted, a total of RM0.8 billion 0.1 per cent of the total direct tax revenue was collected during the same period," he said.

Dr Ko wanted to know the IRB's total direct tax collection for 2015 and its target for 2016 as well as fines collected from tax audit and investigative activities over the last five years.

In the meantime, when replying to a supplementary question from Datuk Irmohizam Ibrahim (BN-Kuala Selangor) on action against tax evaders, Chua said a total of 173,000 Malaysians had been barred from traveling overseas for failing to pay their tax amounting to RM4 billion as at Dec 31, 2014.

He said as a result of action taken under Section 104 of the Income Tax Act 1967, IRB had successfully recovered RM1.3 billion.

"Other steps taken by the government to track down tax evaders are through the implementation of the Goods and Services Tax, reduction of penalties and no increase on tax," he added.  — Bernama

Related Articles