IRB open to negotiate with errant taxpayers

SHAH ALAM - The Inland Revenue Board (IRB) is open to discuss and negotiate with any who are plagued by problems in settling their tax arrears.

In its statement today, it was highlighted that the law, in fact, allows leeway for tax arrears to paid in installments.

However, the failure of the individual involved to comply with the law may result in a penalty being imposed, resulting in a higher amount of tax payable.

"Tax arrears are an issue that often plagues taxpayers if they neglect responsibility to the government.

"The delayed and unconcerned attitude of some taxpayers will result in them being faced with a follow-up of the collection by the IRB.

"To reduce this tax arrears case, taxpayers are advised to contact the IRB for free tax consultation services while we are also open in every tax negotiation in the interest of both parties," the statement said.

Additionally, the issue of tax arrears exists when the taxpayer fails to pay to the IRB within the due period.

Failure to do so resulted in them facing a number of actions including travel restrictions abroad, salary deduction instructions and so on.

In the same statement, IRB also said that as at July 31 this year alone, 186,346 individuals including directors of companies, have unpaid tax arrears amounting to RM12.9 billion.

These individuals are currently subjected to travel restrictions.

"If this amount of tax arrears is not properly addressed by the IRB it will indirectly affect the country's direct tax collection and may hinder the government's planned development programmes in the future.

"The enforcement action carried out by the IRB to these groups is a form of justice to taxpayers who adhere to the tax laws for the well-being and prosperity of the Malaysian Family as a whole," read the statement.