THE Inland Revenue Board of Malaysia (HASiL) has advised taxpayers undergoing audits to respond within the stipulated timeframe or risk having their claims rejected and facing additional tax assessments.
Rohaizad Abd Fandi, senior assistant director at HASiL, said any failure to reply to audit notices or submit relevant documentation could be interpreted as an absence of supporting evidence.
“Failure to respond will be deemed as a lack of supporting documentation for the claims made, which may result in them being disallowed and additional assessments being issued,” he said during a segment on Bernama Radio titled “Kena Audit? Tenang dan Fahami Dahulu Proses & Kepentingannya”.
He reminded taxpayers that any unsupported or ineligible claims are considered offences under the Income Tax Act 1967.
“A Notice of Additional Assessment will be issued, and the taxpayer will be required to settle the amount within the prescribed period,” he added.
Rohaizad acknowledged that many taxpayers still perceive audits with anxiety, often reacting in panic, but emphasised that audits are a routine process intended to verify the accuracy of tax submissions.
He encouraged taxpayers to remain calm and familiarise themselves with the content of the audit notice upon receipt. “If in doubt, contact the nearest HASiL office or attend in person for clarification.”
He also highlighted the rights of taxpayers during the audit process, including the right to be formally notified before an audit begins, the right to a reasonable timeframe to compile required documents, the ability to request deadline extensions, and the right to appeal audit findings.
For complex cases, especially those involving large-scale businesses or multiple income sources, he recommended seeking professional assistance from licensed tax agents.
Rohaizad added that the nature and scope of audits can vary depending on the complexity of each case, and advised full cooperation and proper documentation throughout the process.
He also issued a final reminder that any outstanding tax must be settled promptly to avoid further action, including possible legal consequences or travel restrictions. - July 8, 2025