JOHOR BARU: The 2025 Budget is expected to be larger than the previous year with a strong focus on expanding public spending.
Thannees Tax Consulting Services managing director Thanneermalai said to fund this expansionary budget, the government may explore stricter tax enforcement, borrowing or asset sales
However, he does not foresee the introduction of new taxes.
Instead, Prime Minister Datuk Seri Anwar Ibrahim will most likely enforce stricter tax laws and broaden the scope of the sales and service tax (SST).
Thanneermalai also anticipates possible adjustments to personal income tax, with potential relief for the M40 and B40 groups, as well as increases in the sugar tax and potential new levies on vaping, alcohol, and gaming sectors.
"The additional tax collection will come from intensifying tax audits and investigations by both the Inland Revenue Board (IRB) and Customs Department.
"This is already happening, and I expect it to increase further," he said.
The impact will likely fall on existing taxpayers, who may face the burden of additional taxes and penalties.
"The government will need stronger efforts to crack down on tax evasion, as relying on the same taxpayers will not be sustainable for future budgets," he told the New Straits Times today.
Earlier, the NST reported the 2025 Budget may spring some big surprises, which may include new taxes.