Calls for strategy to boost taxes

The IMF said Budget 2023 committed to improving revenue collection by minimising leakages and enhancing tax compliance, guided by the adoption of an MTRS, but it lacks specific medium-term revenue-enhancing measures and a timeline for the MTRS. — Bloomberg

KUALA LUMPUR: Developing a medium-term revenue strategy (MTRS) remains an urgent priority for Malaysia as the country’s tax revenues are the lowest among the Asean-5 and Organisation for Economic Cooperation and Development peers and have been declining, says the International Monetary Fund (IMF).

As of 2021, Malaysia’s tax revenues stood at about 11% of gross domestic product (GDP).