Doctors make up the bulk of tax dodgers: IRB

PETALING JAYA: Doctors make up the bulk of tax dodgers caught by the Inland Revenue Board (IRB) in its tax audit operation in the first eight months of this year.
The additional assessments and penalties imposed on these errant tax payers for under-declaring their taxes amount to RM1.158 billion, with doctors accounting for RM1.111 billion.
According to a report in Oriental Daily News today, this year up to August, IRB audited 4,610 professionals including doctors, lawyers, architects and engineers.
The additional assessments and penalties imposed on tax dodgers from other professional groups are: RM3.83 million for engineers; RM1.181 million for architects and RM7.39 million for lawyers.
A total of 3,000 doctors' tax accounts were scrutinised, accounting for almost two-thirds of the total 4,610 professionals audited. The others included 1,287 engineers, 182 lawyers and 141 architects.
However, not all 4,610 of them were tax dodgers and the audit done on these individuals was part of IRB's routine tax audit exercise.
IRB chief executive officer Datuk Sabin Samitah (pix) told the daily that although the board had announced last month that it would launch a tax audit operation on professionals either this month or the next, it has always been carrying out investigation on professionals suspected to be under-declaring or evading taxes.
On tax-defaulting companies which refused to pay up, Sabin said IRB could apply to court to wind up these companies.
In fact, he said, for the first seven months of this year, IRB has made applications to wind up 152 errant companies which owed a total of RM114.7 million in additional assessments and penalties.
He also said the board will soon apply to wind up a listed company for defaulting on tax payment amounting to RM42 million.
He said the company's businesses include tours, hotel and services and manufacturing golf balls.