ID :
195762
Tue, 07/19/2011 - 10:19
Auther :
Shortlink :
https://oananews.org//node/195762
The shortlink copeid
EDUCATION, CULTURALISATION TO INCREASE COMPLIANCE RATE FOR INCOME TAX
KUALA LUMPUR, July 19 (Bernama) -- Further education and culturalisation of the taxpayers should be further inculcated to increase compliance rate for individual's income tax, said Second Finance Minister Ahmad Husni Handazlah.
He said tax compliance among Malaysians has increased steadily in the last four years, from 79 per cent in 2007 to 91 per cent last year.
"Indeed, the efforts of the tax industry in educating the public on their tax responsibilities are important," he said at the opening of the "National Tax Conference 2011" here Tuesday.
Ahmad Husni said taking Europe's sovereign debt crisis as an example, it was estimated that three to four per cent of Europe's gross domestic product was lost to avoidance of tax payments.
"This situation in Europe serves to remind us the importance of Lembaga Hasil Dalam Negeri (LHDN) to the maintenance our country's financial and economic well-being.
He said tax revenues accounted for over 60 per cent of the federal
Treasury's income, of which 51 per cent and 18 per cent were from direct and indirect taxes, respectively.
Ahmad Husni said with the expanded gross national income of RM1.7 trillion (US$564.502 billion), the average Malaysian would have greater disposable income compared to those in developed countries.
"With this higher purchasing power, the contributions from consumer
consumption to gross domestic product would also grow.
"This increase in spending will lead to a virtuous cycle of greater
investment and ultimately, higher tax revenues," he said.
He said with the increase in revenue, the government could provide better healthcare and shelter and offer quality education for the less fortunate and the under-privileged.
Meanwhile, LHDN's chief executive officer, Dr Mohd Shukor Mahfar, said the conference offered an avenue for participants to deliberate on issues, concerns and challenges in tax administration and to better understand the role of taxation in the development and economic transformation programme.
He said tax compliance among Malaysians has increased steadily in the last four years, from 79 per cent in 2007 to 91 per cent last year.
"Indeed, the efforts of the tax industry in educating the public on their tax responsibilities are important," he said at the opening of the "National Tax Conference 2011" here Tuesday.
Ahmad Husni said taking Europe's sovereign debt crisis as an example, it was estimated that three to four per cent of Europe's gross domestic product was lost to avoidance of tax payments.
"This situation in Europe serves to remind us the importance of Lembaga Hasil Dalam Negeri (LHDN) to the maintenance our country's financial and economic well-being.
He said tax revenues accounted for over 60 per cent of the federal
Treasury's income, of which 51 per cent and 18 per cent were from direct and indirect taxes, respectively.
Ahmad Husni said with the expanded gross national income of RM1.7 trillion (US$564.502 billion), the average Malaysian would have greater disposable income compared to those in developed countries.
"With this higher purchasing power, the contributions from consumer
consumption to gross domestic product would also grow.
"This increase in spending will lead to a virtuous cycle of greater
investment and ultimately, higher tax revenues," he said.
He said with the increase in revenue, the government could provide better healthcare and shelter and offer quality education for the less fortunate and the under-privileged.
Meanwhile, LHDN's chief executive officer, Dr Mohd Shukor Mahfar, said the conference offered an avenue for participants to deliberate on issues, concerns and challenges in tax administration and to better understand the role of taxation in the development and economic transformation programme.
