IRB tax checks uncover about RM7.7 billion in additional assessments
The tax authority examined 408,726 cases, with enforcement focusing on high-risk taxpayers and sectors.
Audits and investigations by the Inland Revenue Board (IRB) across 408,726 cases in 2026 have led to about RM7.7 billion in additional tax assessments.
Chief executive officer Datuk Dr Abu Tariq Jamaluddin said the compliance drive concentrated on high-net-worth individuals, aggressive tax planning, and businesses in tobacco, liquor and vape. Other areas under scrutiny included transfer pricing, information from e-Invoice and Malaysian taxpayers’ accounts overseas.
At the opening of the IRB's 2026 Innovation and Integrity Day celebration in Cyberjaya on Nov 3, he said the board favoured voluntary compliance but would act firmly against deliberate tax evasion.
Abu Tariq also outlined wider use of artificial intelligence (AI) for tax administration and services. Using e-Invoice information, the MyInvois Advanced Analytics Anomaly Detection Model has detected more than 7,700 potential tax-risk cases that require audits and investigations.
The agency's AI projects, which include applications already developed and others still under development, include HAFY-TaxAssist for tax guidance at any hour. The Instrument Recognition and Intelligence Model (IRIM) classifies documents and establishes the relevant stamp duty rates by examining their contents.
He said behavioural analytics draws on the board's data warehouse to pinpoint higher-risk taxpayer groups. For taxpayers owing tax arrears, the Next-Best Action Predictive Model supports collection decisions by evaluating their finances, past compliance and behaviour.
The board also introduced the LHDN Integrity Document, which Abu Tariq said would guide integrity matters within the organisation. The initiative aligns with the LHDNM Anti-Corruption Strategy (SeAL) 2026-2028.
