Companies that are subject to pay tax will not be able to evade from paying the Sales and Services Tax (SST) as the government has a big database system to detect their information.
Finance Minister Lim Guan Eng said the system, inherited from the implementation of the Goods and Services Tax, had previously registered some 472,000 companies. However, under the SST, only 100,000 companies out of that figure are subject to the tax and we can trace those who attempt to evade from paying (taxes). At the same time, we are not only depending on our officers to investigate these companies one by one because we will also use computerisation system.
He said this in a press conference after a briefing on SST to industry players here, today.
Also present were adviser to Finance Minister, Datuk Ooi Kok Seng, and the Royal Malaysian Customs Department Deputy Director-General (Customs) Datuk Paddy Abd Halim.
Lim said company owners still have time to correct any mistakes or register companies under the SST (for those who had not done so) as the government is still adopting a soft approach with them.
However, when the soft-approach period was over, the government would take action in accordance with the specified laws, he said.
“Now it’s easy, go to the website (Customs Department) and register. Even if they want exemption (tax), we will give automatically but before that, we will check.
“Like I said, we will use soft approach and concern first. We will give them the opportunity to correct (their mistakes). But after that, we will enforce the laws, may be beginning next year.
