The government has paid out RM5.4 billion in tax refunds for 2023 and is confident of completing all payments this month, ahead of schedule.

KUALA LUMPUR: The government has disbursed RM5.4 billion in tax refunds for the 2023 year of assessment as of February 10. Finance Minister II Datuk Seri Amir Hamzah Azizan said the payments, involving 38,629 cases, are on track to be fully completed this month.

This timeline is ahead of the original first-quarter 2026 target. Refunds for excess tax payments for the 2024 year of assessment are targeted for completion before the end of this year.

Amir Hamzah provided the update in a parliamentary reply to Jimmy Puah Wee Tse (PH-Tebrau) today. He also confirmed that tax refunds for the 2022 year of assessment and earlier were fully settled last year.

The scale of refunds has increased significantly, with 3.7 million cases processed in 2025 compared to 2.7 million in 2024. To ensure timely payments, the Inland Revenue Board has implemented several measures.

These include a first-in, first-out approach and prioritising payments based on the age of outstanding cases. The government has also focused on fully settling outstanding individual refunds and prioritising micro, small and medium enterprises facing cash flow constraints.

“The government is committed to ensuring that the tax refunds are completed in a fair, transparent and equitable manner, taking into account the interests of all taxpayers,” Amir Hamzah said.

 The Sun Malaysia