Malaysia needs ‘smart taxation’

“Malaysia has been offering tax incentives since the 1950s. The original reason may have been good but conditions have changed. What is the point of offering tax incentives for something that is not relevant anymore but the companies are still taking advantage of that?” said Jomo

KUALA LUMPUR: Ahead of Budget 2020, prominent economist Prof Jomo Kwame Sundaram has called for “smart taxation” in Malaysia, which aims to increase the country’s tax collection without hiking tax rates.

Speaking to reporters at a media briefing, he said that it was important for the government to reduce or eliminate unnecessary tax exemptions offered to corporations and businesses operating in Malaysia.