KUALA LUMPUR, June 14 — The Inland Revenue Board (IRB) said it is monitoring “instant millionaires” who claim to have gotten rich through multi-level marketing (MLM) schemes and online businesses.
IRB deputy chief executive officer (compliance) Abdul Manap Dim said those who carry out such activities will have to pay taxes from their profits.
“Apart from salaried employees, businesses and companies have to pay taxes including multi-level marketing (MLM) schemes and online businesses. It is unfair to other taxpayers that MLM and online businesses escape from paying taxes,” he was quoted saying by local daily The Star.
He said those who have to pay tax also include retirees who still work, contract workers, as well as commission earners, such as marketing staff.
“For instance, if you are a salaried worker and at the same time you own an online business, you have to pay double taxes,” he said.
He said those who seek to evade tax will not escape detection by IRB’s Investigation and Profiling Department, also revealing that the department had hauled up 3,793 people in the first phase of Operasi Gegar Bersepadu that ran from April 10 to April 14.
The IRB has already collected RM47 billion in taxes up to last week and is aiming to hit RM127 billion this year, he said. It collected RM114 billion in taxes last year.
