Gross Direct Tax Collection in Malaysia Increases by 5.8% for 2026

Kuala Lumpur:Gross direct tax collection for the first 10 months of 2026 rose by 5.8 percent to RM174.48 billion, up from RM164.92 billion in the same period last year, according to Prime Minister Datuk Seri Anwar Ibrahim.

According to BERNAMA News Agency, Prime Minister Anwar, who also serves as the Finance Minister, attributed the increase to strengthened tax compliance efforts, including the implementation of e-Invoice data. Over 97,000 taxpayers have voluntarily submitted tax returns for previous years, resulting in a total tax payable of RM1.68 billion.

The Prime Minister's remarks were delivered by Finance Minister II Datuk Seri Amir Hamzah Azizan during the 2026 Innovation and Integrity Day celebration organized by the Inland Revenue Board of Malaysia (IRB). The e-Invoice initiative is part of the broader strategy to enhance compliance and improve the efficiency of Malaysia's tax administration.

Previously, the IRB reported a nine percent increase in federal government tax revenue collection, reaching RM129.6 billion up to June 2026, compared to RM119.1 billion in the same period last year. Deputy Finance Minister Liew Chin Tong noted that this growth was partly driven by higher corporate income tax collections.