To foster voluntary tax compliance, the Inland Revenue Board of Malaysia (HASiL) adopts the “awareness, education and services” (AES) approach.— RAJA FAISAL HISHAN/The Star
HAVE you ever wondered where your taxes go?
Taxes are not merely a legal obligation; they are a contribution that brings significant benefits to you and all Malaysians.
Every sen of tax collected enables the government to provide various facilities and services aimed at improving the quality of life for the people.
Taxes are the primary source of national revenue, playing a crucial role in ensuring Malaysia continues to thrive as a prosperous and progressive nation.
However, this vision can only be realised if every citizen fulfils his duty as a taxpayer.
The e-Services is fully mandatory starting Jan 1, 2024 via the MyTax Portal.
Why are taxes important
As the lifeblood of the nation’s economy, revenue from taxes supports key sectors such as education, healthcare, safety and infrastructure development.
For instance, taxes enable the government to build schools and universities, ensuring access to quality education for all.
In healthcare, tax revenue funds affordable government hospitals and clinics for people from all walks of life.
Moreover, taxes allow the government to implement social programmes that support the underprivileged, such as financial aid for low-income families, assistance for small entrepreneurs and various other forms of support.
When you pay taxes, you are not just fulfilling a legal duty; you are contributing to the nation’s development.
You are investing in Malaysia’s future – a future for generations to come.
Compliance a shared responsibility
One of the key pillars of a successful tax system is compliance.
Individuals, or businesses, are responsible for accurately declaring their income and paying the correct amount of tax.
Failure to do so not only violates the law but also hampers the government’s efforts to ensure smooth national development.
Beyond this, tax compliance also involves honesty in declaring income, avoiding tax evasion practices and refraining from fraudulent activities.
These irresponsible actions harm the nation’s economy and erode public trust in the taxation system.
The e-Invoice simplifies processes, enhances tax compliance and ensures transaction transparency.
To foster voluntary tax compliance, the Inland Revenue Board of Malaysia (HASiL) adopts the “awareness, education and services” (AES) approach.
This strategy aims to engage various target groups, including existing taxpayers, potential taxpayers and individuals or businesses that are yet to be part of the tax system.
HASiL simplifies tax affairs
HASiL is committed to ensuring that citizens can fulfil their tax responsibilities with ease and efficiency.
Starting from Jan 1 this year, all tax-related matters are fully digitalised via the MyTax portal.
This platform allows citizens to access tax information, declare income and make payments online – all just a few clicks away.
Additionally, HASiL has introduced educational and awareness programmes such as HASiL Your Tax Buddy and Sahabat HASiL programmes.
These initiatives are specially designed to educate the younger generation, including school and university students, about their tax responsibilities.
HASiL also conducts seminars and workshops in collaboration with professional bodies like the Chartered Tax Institute Of Malaysia (CTIM), The Employees Provident Fund (EPF), PERKESO and leading tax firms to ensure accurate and comprehensive information is delivered.
In this digital era, HASiL leverages social media platforms like Facebook, Instagram, TikTok, X (Twitter) and YouTube to engage with the public.
These platforms deliver tax information interactively and engagingly.
HASiL also provides EduZone, an educational platform accessible at its website, to help the public understand the nation’s tax system.
Digital transformation with e-Invoicing
HASiL is also implementing e-Invoicing as part of its efforts to digitalise the national tax system.
With e-Invoicing, business transactions are recorded digitally, ensuring transparency and efficiency in dealings.
It also helps reduce the risk of tax evasion, ensuring more accurate tax collection.
Such initiatives not only simplify tax compliance for taxpayers, but also enhance foreign investors’ confidence in Malaysia.
As a stable nation with a transparent and efficient tax system, Malaysia has the potential to become a top destination for foreign investment.
This, in turn, drives economic growth and creates broader employment and business opportunities for the people.
Clear outstanding taxes, prepare for 2025
As 2025 approaches, now is the best time to review and settle any outstanding taxes for 2024.
Citizens are urged to take advantage of the tax deductions and rebates available to reduce their tax burdens for the coming year.
HASiL is always ready to assist with all the information that is needed on its website.
Your taxes, our future
Taxes are not just a legal obligation but a form of investment in the nation’s future.
With high tax compliance, Malaysia can advance as a prosperous and progressive nation.
Let us all play our part by paying taxes on time and responsibly.
Remember, “Your Taxes, Our Future” and through every tax payment, we build a strong foundation for a brighter Malaysia.
To find out more, simply visit www.hasil.gov.my for further details.
