To Our Valued Clients
In line with the Government's strategies to broaden its revenue base while promoting tax compliance amongst taxpayers as mentioned in the Pre-Budget 2022 Statement published on 31st August 2021, the Finance Minister has unveiled the Budget 2022 on 29th October 2021 and announced that a Special Voluntary Disclosure Program ["SVDP"] be introduced by the Director General of Royal Malaysian Customs ["DGRMC"] in phases with the following proposed remissions:-
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First phase - penalty remission incentive of 100%; and |
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Second phase - penalty remission incentive of 50%. |
The tax remission will also be considered based on the merits of each case.
Through this program, taxpayers are encouraging to voluntarily come forward to declare any tax that either has not been paid, underpaid or erroneously reported to DGRMC.
As the SVDP was mooted by the Government to promote self-compliance, we strongly urge you to consider conducting a preliminary assessment on the level of compliance with respect to your indirect tax matters and where applicable, to capitalise on the full penalty remission incentive available.
Currently, only limited information is made available in relation to this program. We shall keep you updated should there be further announcement from the DGRMC.
Please do not hesitate to contact us if you require our advice or assistance in regard to the foregoing matter.