LHDN denies any political motive behind tax audits



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The Inland Revenue Board said it does not release information about ongoing audits or investigations.

KUALA LUMPUR: The Internal Revenue Board has denied a claim that the selection of cases for its enforcement action is politically motivated.

The board in a statement said today that its process of auditing or investigating any individual, including politicians, was carried out solely to ensure that they comply with the country’s tax law.

He said the board “does not store information on any individual’s race, religion or political affiliation in its database because such information does not help in assessing the risk of a case. At the same time, the information of the persons or companies subject to audit and investigation is also not disclosed by the board of directors since it is confidential.

He said the board was committed to fulfilling its responsibilities without fear or favor, adding that it strived to be fair, just and act with integrity by following the country’s tax law. The enforcement and collection activities, and civil litigation, were carried out following the tax audit framework and the tax investigation framework that can be accessed through its portal.

Individuals, businesses, or organizations can file an appeal with the Special Income Tax Commissioner if they feel there are discrepancies in the amount of taxes they must pay.

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