Broadening the tax base

“The Ministry of Finance (MoF) is reviewing the tax regime but that has taken quite a while; it is expected that some changes in this area will be announced in Budget 2022,’’ said Tricor Services (M) Sdn Bhd chairman Dr Veerinderjit Singh.

TO plug the widening gap between government revenue and expenditure, the tax base must first be enhanced as a reform of the tax system would require a three-to-five year timeframe.

There are questions on why our tax base is narrow, with many exemptions as well as double and special tax deductions.