{"id":59884,"date":"2023-11-21T16:04:22","date_gmt":"2023-11-21T08:04:22","guid":{"rendered":"https:\/\/www.imoney.my\/articles\/?p=59884"},"modified":"2023-11-21T16:05:36","modified_gmt":"2023-11-21T08:05:36","slug":"shadow-economy-malaysia","status":"publish","type":"post","link":"https:\/\/www.imoney.my\/articles\/shadow-economy-malaysia","title":{"rendered":"The Government\u2019s Move To Tax The Shadow Economy Bearing Fruits Already"},"content":{"rendered":"
Parliament was set to debate on measures to combat the shadow economy. The question was raised during question time during yesterday’s parliamentary sesssion.<\/p>\n
The shadow economy refers to an unofficial illicit economic activity that exists alongside a nation\u2019s official economy. The shadow economy exists when unscrupulous activities are left unchecked, such as black market economic dealings and undeclared work.<\/span><\/p>\n In Malaysia, the shadow economy is largely formed by non-registered businesses, the under-reporting of business income, unreported sources of income, and illicit trafficking.<\/span><\/p>\n But thanks to the introduction of e-invoice in Budget 2024, the shadow economy has already started to shrink.<\/span><\/p>\n Datuk Seri Anwar Ibrahim, the Prime Minister of Malaysia and the Finance Minister, introduced the new tax e-invoicing policy in <\/span>Budget 2024<\/span><\/a>, which states that any taxpayer with an annual income or sales exceeding RM100 million will have to use the e-invoice system on a mandatory basis.<\/span><\/p>\n