Deputy head of the celebrity and entertainers audit unit in the LHDN assessment division, Tuan Zulkfli Tuan Lah, 48, said such information would be obtained from the BE Form, which contained information on an individual’s income from employment.
“The income declared by Tan Sri Shahrir in 2013 was RM87,834, followed by 2014 (RM128,104), 2015 (RM213,394), 2016 (RM189,545), 2017 (RM267,090) and 2018 (RM193,191).
“I confirm that Tan Sri Shahrir has never declared any income exceeding RM1 million for the assessment years 2013 to 2018,” he said.
Tuan Zulkfli said this when reading his witness statement during examination-in-chief by deputy public prosecutor ‘Afif Ali in the trial of the former Johor Bahru MP, who is charged with failing to declare to the LHDN a total of RM1 million he received from former prime minister Najib Razak.
The 21st prosecution witness also confirmed that Shahrir had used his username and password to declare his income for these years via e-filing on the LHDN website.
Tuan Zulkfli said that according to Section 4 of the Income Tax Act 1967 and the rules, any income or profit received from other means apart from employment must also be reported to the LHDN.
‘Afif: If a person receives RM1 million as a donation, either for himself or for an organisation, and the money is deposited into his personal account, does it need to be declared to the LHDN?
Tuan Zulkfli: In terms of assessment, if the donation is received by an individual, it should be reported to the LHDN, regardless of its purpose. The individual must first report it to the LHDN, and the LHDN will determine whether it is taxable or not.
Asked whether the individual could opt not to report the sum because he considered it a donation or investment, the witness replied: “No.”
‘Afif: Regarding our case today, if Tan Sri Shahrir received a cheque for RM1 million and the money is deposited into his personal account, does he have to report the funds to the LHDN in 2013?
Tuan Zulkfli: He has to report it in the year the money was received, which is 2013.
Shahrir is charged with committing the offence at LHDN, Duta Branch, Government Office Complex, Jalan Tuanku Abdul Halim, here, on April 25, 2014.
The charge, framed under Section 4(1) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001, provides a maximum fine of RM5 million, or imprisonment for up to five years, or both, if found guilty.
The trial before justice Jamil Hussin continues tomorrow.