KUALA LUMPUR (Nov 3): Finance Minister II Datuk Seri Amir Hamzah Azizan told Dewan Rakyat that the number of people awaiting tax refunds has been halved to around 550,000 as at Oct 30, from about one million in December last year.
The government paid RM20.27 billion in refunds involving 3.65 million taxpayers as of the end of October, Amir Hamzah said while winding up the committee-stage debate on Budget 2027 in the Dewan Rakyat on Tuesday. This compares with RM17.15 billion involving 3.23 million taxpayers in the first nine months of the year.
“In making repayments, the government prioritises excess tax refunds to individuals and micro, small and medium enterprises,” Amir Hamzah said.
He added that RM6.84 billion had been refunded to about 3.4 million individuals, while RM13.04 billion went to 206,234 corporate taxpayers, including MSMEs.
The total outstanding refunds and the deadline to clear them were not shared during the speech.
Refunds delays had previously resulted in compensation payments. In an Oct 13 parliamentary reply, the Finance Ministry said compensation for late tax refunds reached RM109 million across more than 270,000 cases in the first nine months of this year, compared with RM23.64 million involving 187,381 cases throughout 2025.
The ministry said the Inland Revenue Board prioritised refunds according to how long cases had been outstanding, with a focus on MSMEs and businesses facing cash-flow difficulties.
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