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THE Inland Revenue Board (IRB) has traced 31,598 entities comprising individuals, businesses, companies and others who have yet to declare their actual incomes.

In a statement today, IRB said the amount of direct tax leakage suffered by the country was estimated at RM665 million and the significant amount could have a negative impact on the country’s economic stability if it is not curbed immediately.

It said the entities were identified based on asset ownership as well as their ability to secure financing and/or security valued at RM500,000 and above.

The IRB said the entities, in particular 23,751 individuals, are advised to voluntarily appear at their nearest IRB branches to register their income tax files and declare their income.

It said these entities shall be given a grace period of one month from June 15 to July 15, and upon expiration of the grace period, the IRB would enforce tax audits as well as civil and criminal investigations to those that had failed to file tax declaration forms, submitted false statements and evaded tax.

It added that the criminal probes would result in charges being filed in court under sections 112, 113 and 114 of the Income Tax Act 1967 for non-compliance and tax evasion. – Bernama, June 14, 2022.