Owners of overseas bank savings fleeing from paying taxes will face action - LHDN
The IRB receives periodic information from foreign countries regarding the existence of Malaysian accounts in the country concerned.
February 15, 2024
Owners of overseas bank savings fleeing from paying taxes will face action - LHDN
The IRB receives periodic information from foreign countries regarding the existence of Malaysian accounts in the country concerned. - Decorative pictures
KUALA LUMPUR: Any individual who has money saved in a bank account abroad who fails to make a transparent tax report will face action from the Inland Revenue Board (IRB).
IRB Chief Executive Officer, Datuk Abu Tariq Jamaluddin said, IRB receives regular information from foreign countries regarding the existence of Malaysian accounts in the country in question.
Therefore, his side is now focusing specifically on examining the stored information of relevant individuals regardless of status and rank.
"The IRB will examine the information of individuals who keep money abroad that is periodically received from ' tax authorities ' around the world.
"Reviews and intelligence will be carried out to ensure that tax has been paid on savings that are abroad, if the savings originate or result from activities in the country.
"If there is any indication of tax non-compliance, the case will be passed on to the audit and investigation team for further action," he said when speaking in conjunction with the Media Engagement Session, here on Thursday.
He emphasized that the initiative is in line with the IRB's goal to increase audits and investigations on categories of taxpayers identified as having a risk of tax evasion.
He said, the focus will be on individuals who have assets and wealth that are not commensurate with the tax reporting made.
"Under the law, the IRB can reopen a case for the past five years and if there is an element of negligence and fraud there is no time limit," he said.
He added that the IRB will also focus specifically on any individual or company that generates income through online activities to identify whether tax reporting has been made on the income received through the medium.
"The IRB has information and data for this category and will contact them to ensure that income reporting has been implemented," he said.
