How You can Contest Online GST Penalties in Malaysia

Updated on Thursday 19th July 2018

Companies in Malaysia have the option to challenge late GSP penalties online. The application for the remission of the late payment penalty can now be made through the Taxpayer Access Point, or TAP. The statement plus the instructions on how to handle this step were released by the Royal Malaysian Customs Department. The team of experts at our law firm in Malaysia can give you more information on remitting all of part of the late payment penalty.

A short guide on the remission of late payment penalty

When a remission has been granted, the concerned taxpayer is entitled to a refund of the amount of paid tax, penalty or surcharge. The procedure for this has been simplified, as taxpayers now have the option to do this from the Taxpayer Access Point. For this purpose, they must log into their account and select the request a remission option in the miscellaneous section. 

Our team of lawyers in Malaysia can help you contest existing penalties. We can evaluate your case and determine where the error took place and what are the steps you can take for a complete remittance. 

Penalties for the late filing of the GST returns

The Inland Revenue applies a multi-level penalty for the late payment of the GST according to the number of days for which the tax remains unpaid. Penalties also apply for filing an incorrect tax return either by omission or by giving incorrect information. In this situation, the sanction is a fine or imprisonment in some cases. A 5 percent rate of penalty (of the value of the tax) applies for a lag of 1 to 30 days and a maximum 25 percent applies in those cases in which the taxpayer has waited more than 90 days to make the payment.

Our attorneys in Malaysia can give you additional information about the general penalties, those for incorrect return filing or other cases.

Contact our law firm in Malaysia for complete assistance regarding GST compliance.‚Äč