Large-scale tax operation launched in the Klang Valley

CYBERJAYA: Over a thousand Inland Revenue Board (LHDN) and Royal Malaysian Customs Department (JKDM) officers will descend on thousands of Klang Valley businesses to ensure tax compliance as part of Ops Metro 2024.LHDN chief executive officer Datuk Dr Abu Tariq Jamaluddin said the joint operation, which began yesterday, will see officers from both agencies working side by side until Thursday.

He said the operation will focus on five activities related to improving tax compliance among businesses in both the short and long term.

“In the short term, we hope to expand the tax revenue base and reduce the possibility of further tax leakage.

“In the long term, our goal is to improve the overall efficiency of our national tax management, which will then contribute to improving the sustainability of our national revenue collection,” he said during the launch of Ops Metro at the agency’s headquarters yesterday.

The five activities are tax audits, investigations, collection, legal action, as well as conducting a census through visits to 3,969 establishments.

“JKDM officers will focus on conducting targeted business census visits to identify service providers who could potentially register under LHDN, with the goal of expanding the tax base.

“Meanwhile, LHDN officers will focus on identifying taxpayers who conduct ‘cash economy’ activities as well as foreigners who run businesses,” he said.

“LHDN officers will also look to spread awareness on tax compliance among taxpayers and traders by educating them on its importance and possible repercussions for failing to comply.”

Abu said police are also providing protection for officials during Ops Metro to ensure their safety throughout the operation.

On a separate note, Abu Tariq said more civil servants are expected to become taxpayers following Prime Minister Datuk Seri Anwar Ibrahim’s announcement of a planned 7% to 15% pay raise for civil servants last Friday (Aug 16).