PETALING JAYA • Malaysia's Treasury Department has again dropped a bomb by claiming that the previous Barisan Nasional (BN) government has not repaid RM16.046 billion (S $ 5.3 billion) in income tax and real estate taxes to taxpayers, these refunds are due for more than six years.
In yesterday's statement, Minister of Finance Lim Guan Eng stated that refunds are due to more than 1.6 million companies, individuals, associations and foundations from May 31 this year.
Mr. Lim said the outstanding tax refund was due to a shortfall in the Tax Refunds Trust Fund (TRTF), which had only RM1,486 billion on May 31, much lower than the required RM16,046 billion to repay taxpayers.
"In other words, there is a shortfall of RM14.56 billion as of 31 May, which led to 1,653,786 taxpayers not having received their tax refunds more than six years ago.
"It is therefore clear that the RM14.56 billion, which was not transferred from the consolidated funds to the TRTF, had already been included as government revenue by the previous government.
"This means that the government revenue reported by the previous government was not right and bigger than what it actually was," said Lim.
He claimed that the overdue payments arose because the cash management committee under the Ministry of Finance allocated insufficient funds to the TRTF, as requested by the Inland Revenue Board (IRB).
Number of companies, individuals, associations and foundations that on May 31 this year refunds are due, according to yesterday, Minister of Finance Lim Guan Eng.
Mr. Lim added that this committee was chaired by the former Minister of Finance, Mohd Irwan Serigar Abdullah.
To address this problem, Mr Lim said that Pakatan Harapan's government now offers taxpayers with outstanding tax refunds the possibility to set off the amount on the IRB against the tax due for the current year.
Mr. Lim added that he hoped that this would be the latest "mega-exhibition & # 39; of his ministry would be alleged misappropriation and abuse of tax money by the BN government.
Earlier this month, Mr. Lim had claimed that RM19.2 billion was intended for goods and services tax refunds were missing in the government's government coffers.
THE STAR / ASIA NEWS NETWORK