Speaking to FMT, IRB CEO Sabin Samitah said IRB’s enforcement strategies have only one objective — to make compliance easy and non-compliance difficult.
“This is important to create a fair tax system, especially for taxpayers who have been compliant in fulfilling their tax obligations.
“We would like to stress that our audit and investigation activities are carried out on all non-compliant taxpayers, without taking into account age, race, gender or political inclination.”
Yesterday, Rafizi, the Pandan MP, said the IRB was targeting opposition supporters and even the dead and that he had proof.
He reasoned that the increased income tax collection, which was disproportionate to the country’s economic growth, was due to “aggressive audits on businesses associated with Pakatan Harapan and collecting taxes from dead people”.
Rafizi added that social media had also been reporting cases of IRB sending notices to those who were already dead.
On notices sent to the deceased, Sabin said the practice was not unusual as it was a norm to collect tax debt which must be settled.
“IRB collects taxes based on the Income Tax Act 1967, and not merely through the normal practice,” he said, adding the outstanding debt of deceased individuals would be collected from the administrator of their estate or next of kin.
He said the IRB would send notices to the last known address of a deceased individual who had outstanding debts.
“The administrator of the estate or the next of kin may contact any IRB branch to obtain more information regarding the tax standing of the deceased.”
It is understood that countries like Singapore and Australia also require the executor of a deceased person’s estate to settle that person’s tax matters.
Previously, the IRB had said that professionals, including lawyers, architects, engineers and doctors, will be its next target group in upcoming audit operations.