Kuala lumpur: The Inland Revenue Board (IRB) has detected RM1.4 billion in unreported income following audit checks and enforcement actions carried out under the e-Invoice system, which began on August 1, 2024. In a statement today, the IRB revealed that over 500,000 potential cases were identified, showcasing high financial capability with no matching tax records, including unreported income.

According to BERNAMA News Agency, the IRB has been proactive in conducting audit checks and issuing reminders to encourage taxpayers to voluntarily disclose any non-compliance or errors in their tax information. A significant outcome of these efforts is that 17,188 taxpayers, who were previously found non-compliant in submitting their income tax return forms (BNCP), have come forward to file them. This has resulted in the reporting of RM1.4 billion in income for the past assessment year, contributing RM290 million to tax revenue.

The IRB also reported that the implementation of the e-Invoice system has seen 184,325 taxpayers submitting 979 million e-invoices to date. This development indicates a strong acceptance of e-invoices among taxpayers, including micro, small, and medium enterprises, as part of efforts to digitize business operations and maintain systematic records of transactions for both sellers and buyers.

'With a combination of data-driven approaches and the latest technology, the IRB will continue to ensure that taxes are collected fairly and equitably, while detecting non-compliance,' stated the IRB. They further reminded all taxpayers to ensure that the tax information they submit is accurate, complete, and up to date to avoid heavier penalties and legal action under the Income Tax Act 1967.