KUALA LUMPUR: As the total estimated value of cryptocurrency transactions in Malaysia in 2024 will be RM1.441 trillion, the Inland Revenue Board (LHDN) has carried out a special operation to curb tax leakage.
The junta carried out the special operation, dubbed "Ops Token", in collaboration with the police and CyberSecurity Malaysia, in line with the government's desire to reduce tax revenue leakage in cryptocurrency trading and improve the country's tax administration. .
In a statement on Saturday (June 15), LHDN said the operation was carried out simultaneously in 10 different locations around the Klang Valley.
"Through this operation, it was possible to find cryptocurrency trading data stored on mobile devices and computers.
"We have successfully identified digital assets being traded, which has caused a significant leakage of tax revenue.
"The data received will be analyzed in detail to obtain the value of the cryptocurrency assets traded and the profit generated by them.
"This will then give us the value of the leak that was not declared to LHDN," the statement read.
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The board further said that the operation found that several companies and associations were formed specifically for the purpose of carrying out cryptocurrency trading transactions to avoid filing taxes.
The board's chief executive, Datuk Dr. Abu Tariq Jamaluddin, was quoted as saying that people dealing in cryptocurrency trading in Malaysia were subject to income tax.
โThe estimated total value of cryptocurrency transactions in Malaysia this year (2024) is RM1,441tril.
"I recommend that anyone transacting with cryptocurrencies file their taxes as soon as possible and follow the guidelines provided on digital money transactions.
"The implementation of this operation is expected to increase revenue by reducing leakages and subsequently increasing tax efficiency, which will contribute to the sustainability of national revenue collection," he said.
For more details on cryptocurrency taxes, visit https://phl.hasil.gov.my/pdf/pdfam/GP_LAYANAN_CUKAI_KE_ATAS_TRANSAKSI_MATA_WANG_DIGITAL.pdf.
