[SPOTLIGHT SESSION] Tax Audits: Are you ready? Strategies to Enhance Tax Risk Management

Saravana, Partner of Tax, GST, and Customs Practice from Lee Hishammuddin Allen & Geldhill sets the tone of the program on Tax Risk Management by reviewing statements from public figures on tax avoidance and the (non) implication of the Panama Papers, had been seen as a moral concern rather than a criminal offence. He also shared recent articles show individual professionals and companies are targeted for failure to declare earnings and submit accounting statements for GST compliance.

Attendees were given guidelines and best practice approaches in attending to the tax department during an audit session. The briefing session followed by review of cases to look identify key takeaways and cases which set precedence for the authorities in Malaysia. From the Court’s ruling on these cases, summary of case learnings are:
1. Terms not defined in an Act should be given ordinary meaning
2. Tax imposed on royalty payments are subject to if the royalty payment is a condition for purchasing the goods for sale
3. Car registration under the taxpayer’s ownership does not constitutes withdrawal of company’s stock
4. An appointed independent director (in that case) is not an employee of the company, thus not subjected to tax imposed on employees of a company.
5. Release of debt (in the mentioned case) is not part of taxpayer’s gross income
6. Taxpayer was able to reclaim reinvestment allowance due to an error in interpretation of Public Ruling
7.
AMCHAM offers SPOTLIGHT Sessions where companies can speak on various topics or provide training to keep our corporate members abreast with latest development and offer opportunity to share learning experiences. If you would like to speak at a SPOTLIGHT Session, please email [email protected].