KUALA LUMPUR: The Accounts Receivable (AR) in 2023 stood at RM98.367 billion, compared to RM105.824 billion in the previous year, according to the Auditor-General's Report.
Auditor General Datuk Wan Suraya Wan Mohd Radhi said the AR for the Inland Revenue Board (IRB) accounted for 35.3 per cent of the total AR in 2023, amounting to RM34.591 billion.
She added that other AR, totalling RM52.530 billion (53.4 per cent), was from loans and advances recoverable from companies, state governments, statutory bodies, cooperatives and various agencies.
"Of the total AR in 2023, RM28.412 billion (28.9 per cent) consists of uncollected AR that has been outstanding for more than six years.
"Meanwhile, the AR write-off in 2023 amounts to RM1.635 billion, primarily involving AR older than six years, totalling RM1.355 billion," she said in the report.
Wan Suraya also said the IRB's AR in 2023 had decreased by RM5.794 billion, or 14.3 per cent, compared to RM40.385 billion in 2022.
She added that the decrease in AR was due to a reduction in assessments amounting to RM6.976 billion and write-offs of RM726.70 million.
Meanwhile, in terms of AR management, Wan Suraya said the monitoring of AR should also be enhanced by setting collection targets based on outstanding years.
"To improve revenue collection management, relevant parties need to implement firmer and more proactive measures regarding AR collection, along with more efficient and effective enforcement actions under the applicable laws."
The LKAN 3/2024 Series 3 was tabled in Dewan Rakyat today with the consent of His Majesty Sultan Ibrahim, King of Malaysia.
This LKAN focuses on two issues, namely the performance report on the implementation of development projects under the 3rd Rolling Plan of the 12th Malaysia Plan (12MP) up to Dec 31 last year and the key audit area, concerning material and significant matters that impact the financial performance of the federal government in 2023.
The LKAN 2023 Series 1 was tabled in Dewan Rakyat on March 6, while Series 2 on July 4.
The public can view it at https://www.audit.gov.my from today at 10am.