Jomo: Combat tax evasion with tax reforms
- 5 years ago
Malaysia must reform its tax system to address weaknesses that led to tax evasion losses, according to economist Jomo Kwame Sundaram.
He said weaknesses identified in the present tax system allowed for various methods of evasion either by individuals or companies.
"Surveys done some years ago found that half of the owners of luxury cars did not even pay income tax.
"Of course you can be a very rich widow, you're not paying any income tax, but you can still afford your BMW or whatever cars that rich widows drive," said Jomo at a press conference on the United Nations Conference on Trade and Development report 2019 at Kenanga Research Institute's headquarters in Kuala Lumpur yesterday.
He said weaknesses identified in the present tax system allowed for various methods of evasion either by individuals or companies.
"Surveys done some years ago found that half of the owners of luxury cars did not even pay income tax.
"Of course you can be a very rich widow, you're not paying any income tax, but you can still afford your BMW or whatever cars that rich widows drive," said Jomo at a press conference on the United Nations Conference on Trade and Development report 2019 at Kenanga Research Institute's headquarters in Kuala Lumpur yesterday.