PUTRAJAYA – Legal action will be taken against nearly 1,000 risky Goods and Services Tax (GST) statements sent from May 1, said Customs Department GST director Datuk T. Subromaniam.
He said the agency’s review through the MyGST system revealed there was a possibility of inaccurate declaration, underpayment of GDT, overclaims on tax input, tax evasion or tax fraud.
“The sophisticated computerised MyGST will conduct analysis and mark risky statements. Statements identified as risky will be audited and investigated further,” he told a media conference on GST here today.
He said the department had received 5,000 statements up to date and many of the companies with risky statements were from small and medium enterprises (SMEs).
“The department will not compromise on any fraud and we will conduct audit soon on accounts and statements that are doubtful,” he said.
He said traders making mistakes while filling up the statements were allowed to correct them but who deliberately wanted to cheat would be firmly dealt with, including court action.
The MyGST system could detect any discrepancy by emitting ‘red alert while the GST Audit Compliance Division had been mobilised to audit and visit companies that had been identified, he said.
On another development, Subromaniam said the use of slogans such as “GST Kami Tanggung” (GST We Bear) by traders were not permitted as it confused consumers as if GST was not imposed on the purchase of the goods.
“This practice will give an inccurate picture to local and foreign investors that GST must be absorbed amd will be a cost to their ventures when they invest in Malaysia,” he said. – BERNAMA