Income Tax Filing Mistakes That Could Cost You

This article highlights common income tax filing mistakes in Malaysia that can lead to heavy penalties and missed refunds. Key errors include missing the e-filing deadlines (May 15 for salaried employees; July 15 for business owners), which triggers a 10% penalty on outstanding tax balances. Other costly oversights involve failing to declare secondary income sources—like rental or freelance work—and claiming reliefs without keeping proper supporting documentation for the required seven years. Additionally, using outdated bank details or failing to activate a MyTax digital certificate can delay tax refunds. Accuracy and timely submission are essential to avoid fines of up to RM10,000 plus 200% of undercharged tax.