Enhancing tax administration


It is timely that Malaysia announces a comprehensive fiscal reform which is wide-based and wide-ranging.

AN income tax system is based on the willingness of taxpayers to pay their taxes voluntarily. This requires the tax agency to promote voluntary compliance through outreach and education programmes.

One also needs to understand the psychology of taxpayers in complying or failing to comply with taxation laws so that steps can be taken to reduce non-compliant behaviour.

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