RM13.7b levied from foreign workers
KUALA LUMPUR: Some RM13.7 billion has been levied from foreign workers in the last 10 years, said Home Minister Datuk Seri Dr Ahmad Zahid Hamidi.
Zahid yesterday said about 1.7 million foreign workers with temporary foreign work permits contributed RM1.4 billion in taxes as of June this year.
“It was reported that in 2012, RM2.6 billion was collected, 2013 (RM2.4 billion), 2014 (RM2.6 billion) and 2015 (RM2.2 billion). Last year, RM2.5 billion was collected from legal foreign workers.
“These figures are based on the number of foreign workers who have been hired legally and have temporary work permits.
“Unfortunately, the government could not produce specific figures for illegal foreign workers as they did not pay tax and (as such we cannot) conclude the losses.”
Zahid was responding to a question from Dr Ko Chung Sen (DAP-Kampar), who wanted to know about the number of foreign workers and the losses incurred in relation to levy collection in the past 10 years.
Effective April 1, it was made compulsory for employers to make online applications in hiring foreign workers.
The ruling is applicable for the hiring of legal foreign workers except for domestic helpers from all source countries.
Online applications are meant to prevent employers from being cheated by employment agents by way of paying additional costs and to prevent the agents from taking advantage of foreign workers.