Over 92% GST claims refunded

18 Aug 2015 / 05:37 H.

    KUALA LUMPUR: Deputy Finance Minister Datuk Johari Abdul Ghani said over 92% of companies that submitted their Goods and Services Tax (GST) have received their input tax refunds.
    Under GST Regulation 2014, refund of input tax is to be made within 14 working days of online submission of the claim, or 28 working days when done manually.
    Speaking at the press conference after visiting the Royal Malaysian Customs Department yesterday, Johari said part of the reason for the delay in GST refunds was because of filing errors by businesses.
    “There are some cases where the companies have wrongly put the amount of the refunds, such as claims of up to RM144 million, where upon examination they were only entitled for RM1 million in GST refunds.”
    “In other cases, there are also companies that submitted the wrong forms, and at a wrong time,” he added.
    Johari noted that businesses with a turnover of RM5 million or more in a
    12-month period will need to submit monthly GST returns, while businesses with a turnover of less than RM5 million may submit their report on a quarterly basis.
    “For the rest, the companies made a few mistakes when making their refunds like in filling up the tax return forms and the Customs failed to contact them,” he said.

    Johari said the government is happy with the GST system compliance rate of more than 98%, or more than 200,000 companies to date.
    “For the remaining 2%, it takes time to adjust from the sales and services tax to the new GST system. However, the Customs Department will continue to assist them,” he said, noting the government is planning to recruit 300 more GST officers to facilitate the small and medium enterprises.

    “I am pleased with what we have achieved so far, and with continuous collaboration between Customs and the public, especially that involved in businesses, all of these issues will be sorted out,” he added.

    Commenting on the GST collected so far, Johari said the total amount will be disclosed by year-end, after a full analysis is conducted to ensure that the information is accurate.


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