If the Malaysian Inland Revenue Board sends you a letter, you are likely to be the subject of an audit or investigation. How can you tell if you’re the target of a tax investigation or audit? This is the question that must be addressed. The answer is straightforward and simple. You should go over the letterhead that was given to you as soon as possible. If the letterhead is from the investigation department, your case is under investigation. If, on the other hand, the letter comes from a branch or state office, your taxes will be audited.
After reading this article, you will have a thorough understanding of the differences between a tax inquiry and a tax audit conducted by the Malaysian Inland Revenue Board. A table comparing and contrasting the two has been provided below to help you better understand the similarities and differences between the two.
Furthermore, the tax investigation department and offices conduct raids or searches in premises for evidence of tax evasion. When necessary, they will also issue a composite assessment. They may also request bank statements directly from banks during the investigation process to aid the investigation. The investigation officer may take over by conducting audits on taxpayers who are not registered with the branch. Finally, they may use sections of the AMLATFPUAA 2001 for their audit work.
In a nutshell, the goal of auditing and investigating is to assist taxpayers in complying with the Income Tax Act of 1967. You have nothing to worry about if you have no intention of evading taxes. Be a good tax payer and contribute to the growth of the country. You are Malaysia’s unsung hero.
