MEASURES FOR THE COLLECTION, ADMINISTRATION AND ENFORCEMENT OF TAX ACT 2024

Section 5 has effect for the year of assessment 2025

and subsequent years of assessment.

Amendment of section 66a

Where for any year of assessment a tax identification number is made accessible by the Director General to any person, the Director General shall not be liable for any loss or damage suffered by any person due to any error or omission arising in the service of providing access to the tax identification number, provided that the error or omission was made in good faith and in the ordinary course of the discharge of the duties of the Director General or occurred or arose as a result of any defect or breakdown in the service or in the equipment used for the provision of the service.

Measures for the Collection, Administration and Enforcement of Tax 9

A person who, for any reason, has access to a tax identification number of any other person shall not use or cause or allow to be used the tax identification number for any purpose other than for the purposes of this

Act.

Any person who contravenes subsection (6), shall be guilty of an offence and shall, on conviction, be liable to a fine not exceeding four thousand ringgit or to imprisonment for a term not exceeding one year or to both.”.

Amendment of section 77b

by renumbering the existing section as subsection (1);

and

by inserting after the renumbered subsection (1) the following subsection:

“(2)  Where a person—

makes an incorrect return, information return or report by omitting the information required to be provided in accordance with any rules made under paragraph 154(1)(c)

Act 863

to implement or facilitate the operation of an arrangement having effect under sections 132, 132a and 132b, where such arrangement relates to the automatic exchange of information or the furnishing of a country-by-country report, on behalf of himself or another person; or

gives any incorrect information in relation to any information required to be provided in accordance with any rules made under paragraph 154(1)(c) to implement or facilitate the operation of an arrangement having effect under sections 132, 132a and 132b, where such arrangement relates to the automatic exchange of information or the furnishing of a country-by-country report, on behalf of himself or another person, then, if no prosecution under subsection (1) has been instituted in respect of the incorrect return, information return or report, or incorrect information, the Director General may by notice in writing require that person to pay a penalty of not less than twenty thousand ringgit and not more than one hundred thousand ringgit and, if that person pays that penalty, or where the penalty is abated or remitted under subsection 124(3), so much, if any, of the penalty as has not been abated or remitted, he shall not be liable to be charged on the same facts with an offence under subsection (1).”.

Amendment of section 125

by substituting for subsection (4) the following subsection:

“(4)  Where a person makes a return under this Act, the return shall be furnished to the Director General in the prescribed form in an electronic medium or by way of electronic transmission in accordance with section 57a.”;

by inserting after subsection (6) the following subsection:

“(6a)  The notification referred to in subsection (6)

shall be furnished to the Director General in an electronic medium or by way of electronic transmission in accordance with section 57a.”; and

Act 863

by substituting for subsection (7) the following subsection:

“(7)  For the purposes of section 21b, a person who disposes of a chargeable asset shall serve the notification referred to in subsection (6) on the acquirer within sixty days from the date of the disposal and such notification shall be deemed to have been served on the acquirer on the day on which the notification is furnished to the Director General in accordance with subsection (6a).”.

Amendment of section 14

by substituting for the words “furnished to”

the words “served on”; and

by substituting for the words “furnished such”

the words “served such”.

Amendment of section 15

by substituting for the words “furnished to”

the words “served on”; and

by substituting for the words “furnished such”

the words “served such”.

Substitution of section 21a

The certificate of non-chargeability referred to in subsection (1) shall be deemed to have been notified to the disposer in accordance with subsection (1) on the day the return under section 13 is furnished to the Director General.”.

Amendment of section 21b

by renumbering the existing section as subsection (1);

and

by inserting after the renumbered subsection (1)

the following subsection:

“(2)  Where a person has been convicted of an offence under subsection (1), the court may make a further order requiring the person to comply with

Act 863

the relevant provision of this Act under which the offence has been committed within thirty days, or such other period as the court considers appropriate, from the date the order is made.”.

Amendment of section 57a

shall, if so required under this Act; or

may, if so allowed by the Director General, furnish any form prescribed under this Act in an electronic medium or by way of an electronic transmission.”.

Amendment of Schedule 3

Sections 21, 23, 24, 28, 29, 30, 31, 32, 33, 35, 39 and 42

come into operation on 1 January 2026.

Measures for the Collection, Administration and Enforcement of Tax 15

Amendment of section 3a

by substituting for subsection (1) the following subsection:

“(1)  For the purpose of ascertaining whether an instrument is chargeable with duty under this Act or whether such duty has been paid, the Collector may by notice in writing, require any person—

to deliver to the Collector for examination any instrument, book, account, record or other document within the time specified in the notice; or

to attend personally before the Collector and produce for examination any instrument, book, account, record or other document.”;

in subsection (2)—

by substituting for the words “all books and documents” the words “all instruments, books, accounts, records, documents, objects, articles, materials and things”;

search and inspect any such instrument, book, account, record, document, object, article, material or thing; and

make extracts from, or copies of, any such instrument, book, account, record, document, object, article, material or thing without fee or reward.

by inserting after subsection (2) the following subsections:

“(2a)  The Collector may, when entering any land, building or place pursuant to subsection (2)—

Where the Collector exercises his powers under subsections (2) and (2a), the owners or occupiers of such lands, buildings and places shall provide the Collector with reasonable facilities and assistance for the performance of his duties under this Act.”;

the instrument is stamped with the duty to which it would but for this section be liable;

or

the instrument is stamped with the duty to which it would but for this section be liable; or

a return is furnished together with the instrument to the Collector in accordance with section 35a, and the instrument is assessed under paragraph 36(1)(b)

and the Collector has certified under section 37

either that the full duty with which the instrument is chargeable has been paid, or that the instrument is not chargeable with duty.”.

Measures for the Collection, Administration and Enforcement of Tax 19

Amendment of section 17

For the purposes of this section, a return for a year of assessment shall—

by substituting for the shoulder note the following shoulder note:

“Adjudication and assessment as to proper stamp”;

by substituting for subsection (1) the following subsection:

“(1)  Where a person has furnished a return together with an instrument in accordance with section 35a—

the Collector shall be deemed to have made an assessment of duty on the instrument based on the information furnished in the return; or

the Collector shall assess the duty on the instrument, if any, with which in his judgment an instrument is chargeable.”;

by inserting after subsection (1) the following subsection:

“(1a)  The Collector may determine the instruments falling under paragraph (1)(a) in any manner as the Collector thinks fit.”;

Measures for the Collection, Administration and Enforcement of Tax 21

by substituting for subsection (2) the following subsection:

“(2)  For the purposes of this Act, where the Collector is deemed to have made an assessment under paragraph (1)(a)—

the return referred to in that subsection shall be deemed to be an assessment; and

the duty payable on the instrument shall be due and payable on the day the Collector is deemed to have made an assessment.”; and

by inserting after subsection (2) the following subsections:

“(2a)  For the purposes of paragraph (1)(b), the Collector may require any of the following:

an abstract of the instrument;

an affidavit setting out all the facts and circumstances affecting the liability of the instrument to duty or the amount of the duty chargeable thereon; or

any other evidence which he considers necessary for the adjudication or determination of duty.

The Collector may refuse to assess the duty under paragraph (1)(b) until such abstract, affidavit or other evidence has been furnished accordingly.”.

Amendment of section 37

by substituting for subsection (1) the following subsection:

“(1)  Where a return together with an instrument has been furnished to the Collector in accordance with

Act 863

section 35a for an assessment under section 36, 36a,

36aa, 36b or 36ca and—

the Collector has determined that the instrument is already fully stamped; or

the duty assessed by the Collector under section 36, 36a, 36aa, 36b or 36ca, as the case may be, or such a sum as, with the duty already paid in respect of the instrument, is equal to the duty so assessed, has been paid, the Collector shall certify by indorsement on the instrument that the full duty or minimum duty, initial duty, advance duty or additional duty, as the case may be, stating the amount with which the instrument is chargeable has been paid.”; and

in subsection (2a), by substituting for the words

“the person bringing the instrument to the Collector”

the words “the person furnishing the return together with the instrument to the Collector in accordance with section 35a”.

Amendment of section 40

On receiving an application under subsection (1), the Collector shall inquire into the matter and shall give, by way of repayment of duty, such relief in respect of the alleged error or mistake as appears to him to be just and reasonable.”.

Amendment of section 52

fails to keep and retain the books, records and documents as required under subsection 9(7);

fails to notify the Collector as required under subsection 15(6a);

fails to notify the Collector as required under subsection 15a(6); or

fails to keep the instrument and all relevant documents as required under section 35b, shall be guilty of an offence and shall be liable on conviction to a fine not exceeding ten thousand ringgit.

Failure to furnish return 72c.  (1)  Any person who fails to furnish a return with the instrument which is executed and chargeable with duty in accordance with section 35a without reasonable excuse shall be guilty of an offence and shall be liable on conviction to a fine not exceeding ten thousand ringgit.

Measures for the Collection, Administration and Enforcement of Tax 25

Where a person has been convicted of an offence under subsection (1), the court may make a further order that the person shall comply with the relevant provision of this Act under which the offence has been committed within thirty days, or such other period as the court considers appropriate, from the date the order is made.

Where a person fails to furnish a return with the instrument which is executed and chargeable with duty in accordance with section 35a and no prosecution under subsection (1) has been instituted in relation to such failure, the Collector may require that person to pay a penalty of not less than two hundred ringgit and not more than two thousand ringgit.

The Collector may, if he thinks fit, reduce or remit the penalty referred to in subsection (3).

Incorrect returns 72d.  (1)  Where a person—

Where a person—

The Collector may, if he thinks fit, reduce or remit the penalty referred to in subsection (2).”.

Amendment of section 74

the filing or furnishing of any application, return, declaration or any other document; and

the service of any notice, direction, order, permit, receipt or any other document.

Where—

Any application, return, declaration or any other document made and transmitted by the registered user shall be deemed to have been filed or furnished at the time the application, return, declaration or any other document is received by the Director General.

For the purposes of this section, “registered user”

means any person who is authorized in writing by the Director General to gain access to and use the electronic service.”.

by substituting for subsection (5) the following subsection:

“(5)  Where any person has obtained control of any taxable goods or has imported any taxable goods, the Director General may require the person to account for the taxable goods.”; and

Act 863

by substituting for subsection (6) the following subsection:

“(6)  Where any person fails to account for the taxable goods under subsection (5) by reason that—

the taxable goods have been sold by such person;

the taxable goods have been exported or removed by way of sale; or

the taxable goods have been lost or destroyed, the Director General may assess to the best of his judgment the amount of sales tax that would have been chargeable in respect of the taxable goods if the goods had been sold by such person and shall forthwith notify the person of the assessment in writing.”.

Amendment of Schedule