Total VDP 2.0 tax ​​collection at RM128.85m as at October 2023

KUALA LUMPUR – The amount of tax from the special Voluntary Declaration Programme (VDP) 2.0 implemented by the Inland Revenue Board (IRB) of Malaysia and the Royal Malaysian Customs Department (JKDM) that was successfully collected until Oct 31 this year is RM128.85 million.

Deputy Finance Minister II Steven Sim Chee Keong said that through the VDP 2.0 programme, the amount of direct tax revenue collected by IRB was RM115.63 million.

“The total amount of indirect tax revenue collected by the Finance Ministry until Oct 31, 2023 is RM13.22 million,” he said during the question and answer session at Dewan Negara here today.

He was replying to Senator Tan Sri Low Kian Chuan’s question about the amount of tax from the voluntary declaration programme to date.

Sim said the government had announced the VDP 2.0 programme to taxpayers during the tabling of Budget 2023 on Feb 24, 2023 as one of the initiatives to increase the country’s revenue, the number of taxpayers and the level of tax compliance.

He said the VDP 2.0 was implemented by the two bodies with a zero per cent penalty offer for voluntary declarations made during the period from June 6, 2023 to May 31, 2024.

He also said the estimated tax revenue from the implementation of the Capital Gains Tax is RM800 million a year.

“Meanwhile, the estimated amount of collection resulting from the implementation of the High Value Goods Tax, previously known as the Luxury Goods Tax, is still at the simulation stage because it is a new tax measure.

“Currently, the Finance Ministry is in the final stages of finalising the policy and legislation for the High Value Goods Tax. The implementation mechanism, type of goods and tax rate for this tax will be announced as soon as it is finalised and approved by the Cabinet,” he said. – BERNAMA