However, LHDN said that the island also has a high number of tax dodgers.

PETALING JAYA: Penang has been ranked as the second highest state in tax collection after Sarawak, however, the island also has a high number of tax dodgers, and mostly sole proprietary owners, said the Inland Revenue Board (LHDN).

“This category has the most tax dodgers due to non-compliance,” Penang LHDN director Norfaidah Daud was quoted as saying in The Star Online.

“We will have to seriously look into this non-compliance as it could mean a loss in tax collection,” she further added.

Norfaidah was reported to have said that the state LHDN had collected more than RM7 billion last year and last month the state’s contribution to the Federal Government was 4.78 per cent of the total country’s collection.

It was reported that LHDN had recorded one of its highest tax collections last year at RM175.4 billion, a 21.75 per cent increase in comparison to 2021.

The director said that during a four-day period, IRB officers will visit 215 premises during the LKH programme.

Thus, encouraging the Voluntary Non-Disclosure 2.0 scheme which received an overwhelming response and officers will also allay fears of businesses that this investigation will not lead to an investigation on their past non-tax payment records.