CYBERJAYA, March 1 — The government expects its tax revenue collection to return to pre-pandemic levels by meeting or surpassing the target of RM139 billion this year, said Prime Minister Datuk Seri Ismail Sabri Yaakob.
He said that to support this goal, the Inland Revenue Board (IRB) management needs to formulate short- and mid-term strategies to achieve the target while maintaining its good performance in the future.
“This includes identifying new economic sectors and implementing the tax laws in a transparent, effective, and efficient manner. Indirectly, the effort will increase the Malaysian Family’s trust and ensure that taxpayers fulfill their responsibilities,” he said in his speech for IRB’s 26th Revenue Day celebration today.
The text of his speech was read out by Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz.
For 2021, Ismail Sabri said, revenue collection jumped 17 percent year-on-year to more than RM140 billion while the country’s Gross Domestic Product (GDP) grew by 3.1 percent compared with a 5.6 percent contraction in 2020.
He also noted that the government would implement the Tax Identification Number (TIN) and Tax Compliance Certificate (TCC) to increase the efficiency and transparency in the country’s tax collection.
In addition, starting from 2023, all businesses seeking government projects must have TCCs as the main prerequisite, the Prime Minister said.
To improve the labor market as well as strengthen the business sector, the Finance Ministry would implement fiscal reforms towards a more efficient and transparent taxation system by holding various engagement sessions, he said.
“Towards this end, the government will table the Fiscal Responsibility Act with the aim of improving governance, accountability and transparency in the country’s fiscal management.”
“This includes developing the Medium-Term Revenue Strategy that features clearly defined revenue targets in line with global best practices as well as a more transparent, fair, and equitable tax system through the use of big data,” he added.
Meanwhile, Ismail Sabri expressed confidence that the government’s GDP forecast for 2022 of between 5.5 and 6.5 percent would be achieved, in line with the projections by the International Monetary Fund (5.7 percent) and World Bank (5.8 percent).
“This will be driven by the expansionary Budget 2022, recovery in economic and social activities as well as strong external demand that will continue to spur growth,” he added.
At today’s event, 10 business entities were honored with the 2021 Best Taxpayer Award, including Perodua Sales Sdn Bhd, Hong Leong Bank Bhd, YTY Industry Sdn Bhd, and Nestle Products Sdn Bhd.
More Stories
Nation Recovers RM15.5 Billion Of Its Revenue, War Against Corruption And Cartels To Go On – Anwar
Budget 2026 Reflects Govt’s Commitment To Integrity, Curbing Leakages – Azam
Dewan Negara Passes Five Bills Including Legal Aid And Public Defence 2025