95 percent of firms submit monthly GST return statements - Customs

About 95 per cent of some 420,000 companies have been submitting the Goods and Services Tax (GST) monthly return statements since its implementation over a year ago.

The Royal Malaysian Customs Department director-general Datuk Seri Khazali Ahmad said the higher submission rate was indicative of the smooth implementation of the system, which facilitates the submission process.

Compared with other countries which implement a similar tax regime, Malaysia, in its first year of the GST implementation, succeeded in recording a high level of compliance from registered companies, he told reporters after attending a conference on GST here today.

"Return statements submission is basic in the taxation system and for the GST, it has been good and on schedule," said Khazali.

He also said currently the department, which has more than 2,000 auditors, is evaluating all the GST return statements to ensure their quality in terms of valuation and declaration.

"Although the number of those who failed to submit tax returns is small, we hope they too will comply as soon as possible or face (legal) action," he added.

Themed 'The Future of Economic Growth', the two-day conference, which will end tomorow, is organised by the Malaysian Institute of Accountants and is aimed at discussing how the GST can affect the country's economic growth.