Anwar said LHDN must be resolute in its tax collection efforts to dispel any perception that affluent individuals would not face any consequences for evading tax.

“Regardless of their position, I would like to stress that you (LHDN) are tasked with fulfilling your responsibility (in collecting taxes).

“Whether it’s Ahmad, Ah Seng, Tan Sri or Tun, if they don’t pay taxes, thorough investigation and action must be taken,” he said when officiating the 28th LHDN Day celebration here today.

Anwar, who is also the finance minister, said Malaysia faces challenges in tax collection, unlike some neighbouring countries.

“Malaysia’s tax base remains at 11%, which is significantly lower compared to Thailand’s 16.4% and Singapore’s 12.6%.

“That makes our efforts to collect tax challenging,” he said.

He said the country’s situation is also exacerbated by the low percentage of registered companies actually paying taxes, which is less than 29% or 435,000 out of the 1.5 million registered companies.

Anwar also commended LHDN’s achievement in tax collection for 2023, totalling RM183.34 billion, an increase of RM7.8 billion or 4.49% from the previous year.

“I want to extend my utmost appreciation to LHDN in setting a record in tax collection,” he said.

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