The Inland Revenue Board of Malaysia (LHDN) has found that sole proprietors in Penang are the group most likely to evade taxes. To address this issue, LHDN is offering a special program called PKPS 2.0 to help sole proprietors come clean and pay their taxes voluntarily.
The director of LHDN Penang, said that sole proprietors have the highest rate of not paying taxes, and their financial records are not as well-kept as other types of businesses. She urged sole proprietors to comply with tax regulations and voluntarily disclose their income under PKPS 2.0.
PKPS 2.0 – Special Voluntary Disclosure Programme
PKPS 2.0 is a program that allows new and existing taxpayers to improve their tax compliance. It also allows taxpayers to voluntarily declare their income and ensure that their taxes are calculated accurately and regularly.
The director also announced the launch of the ‘Lawatan Konsultasi Hasil’ (LKH) 2.0 program, which will run until Thursday (Sept 21). The LKH 2.0 initiative aims to increase LHDN’s presence among businesses and understand their activities and challenges. The LKH 2.0 team will visit 215 businesses across Penang to provide tax advice, help with legal processes, and promote PKPS 2.0.
Last year, LHDN Penang recorded as the state to collect the second highest tax after Sarawak.
