Customs to audit GST-registered firms from Sept 1

KUALA LUMPUR: The Royal Malaysian Customs Department will launch the Customs Blue Ocean Strategy Operation (Ops CBOS) in phases from Sept 1 to audit companies registered for the goods and services Tax (GST).

Director Datuk Seri Khazali Ahmad said that about 50,000 companies have been identified in the first phase. The audit is to ensure that they are on the right track, he said.

"There are 420,000 companies registered for the GST. After implementation of this new tax regime one-and-a-half years ago, we want to ensure everything is being done in the correct manner.

"We will initially start with these 50,000 companies, which we have randomly selected. The next batch for the exercise will be in March next year," he added.

He told reporters this at the GST Conference 2016, organised by the Malaysian Institute of Accountants, and launch of the Ops CBOS.

Khazali said the first phase of the Ops CBOS will involve 1,500 customs officers and run till the year-end.

"We welcome any suggestions or input from the public, especially tax practitioners like accountants, as to the cost of the GST implementation.

"They might have found something not right and can come up with suggestions to the department, so that the necessary amendments can be made to our implementation," he added.

Asked about the GST collection to-date, he said it had to be set off against the refunds to made.

"Suffice to say, we are actually on track in terms of the collection," he said.

Khazali said there would be no changes made to the GST in Budget 2017.

The GST Conference 2016 drew some 500 participants. - Bernama