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4 Reasons LHDN Might Come Knocking Even After You’ve Filed Your Taxes

4 Reasons LHDN Might Come Knocking Even After You’ve Filed Your Taxes

Tax season is the annual reminder that you should have paid attention in Math class.

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Just like traffic jams, the other certainty in life is upon us again. It’s tax season.

The Inland Revenue Board (LHDN) has opened its income tax filing period for the assessment year 2024 starting 1 March, 2025. If you haven’t submitted your e-filing, make sure to do so by 15 May (for employment income) or 15 July (for business income).

For those filing manually, the deadline is 30 April (for employment) and 30 June (for business).

If you earn taxable income, filing your tax returns and making payments on time is crucial to avoid penalties. But did you know that even if you’ve completed your e-filing, LHDN might still reach out to you? Here’s why:

  1. You Filed the Wrong Tax Form

Make sure you’re using the correct tax form when filing your e-filing. Typically:

e-BE → For salaried employees.

e-B → For those running a business.

Other forms like e-BT, e-P, e-TF cater to specific cases.

If you own a business but mistakenly file an e-BE form (meant for employees), LHDN might investigate why your business income wasn’t declared.

  1. You Claimed Every Possible Tax Deduction

Filing taxes isn’t just about declaring your income—it’s also a chance to claim tax reliefs for things like:

✔️ Tuition fees
✔️ Insurance & contributions
✔️ Medical expenses
✔️ Lifestyle expenses

However, if you max out every category, LHDN might get suspicious. If your declared income doesn’t match your claimed deductions, expect them to take a closer look.

  1. You Skipped Filing for a Year

Tax returns must be submitted every year, even if your business had no income or suffered losses.

For example: If you filed taxes for 2022 and 2024 but skipped 2023 due to business losses, LHDN will still expect you to submit a return for that missing year.

  1. Your Lifestyle Doesn’t Match Your Declared Income

Honesty is key when reporting your income. If you declare low earnings but your lifestyle tells a different story—frequent vacations, luxury purchases, etc—LHDN may investigate.

And yes, they do check social media, so don’t assume they won’t notice! If you realize you’ve made a mistake, correct it immediately within the given timeframe.

What to Do If You Made a Mistake?

If you spot an error after submitting your tax return, you can correct it manually or online.

Manual Corrections:

Submit a written letter with supporting documents to the LHDN office handling your tax file.

Online Corrections (e-Permohonan Pindaan BE – from 1 April:

✔️ If you over-reported your income
✔️ If you under-claimed deductions/rebates

For more serious errors (e.g., undeclared income or excessive claims), you’ll need to submit a Revised Tax Return (BNT) within six months of the original filing deadline.

What Happens If You Amend Your Taxes?

Amending your taxes (via BNT) could increase your tax bill. The later you correct it, the higher the penalty:

Within 60 days → 10% additional tax

Between 60 days – 6 months → 15% additional tax

It could also mean:

✔️ You now owe taxes when you previously didn’t.
✔️ You owe more tax than before.
✔️ Your tax refund is reduced.

So, double-check everything before submitting your return.

Maximize Your Tax Deductions (Legally!)

Before submitting your e-filing, ensure you claim deductions for these 2024 expenses:

✔️ Education & medical insurance (for self, spouse, or children)
✔️ Life insurance
✔️ EPF (Employees Provident Fund)
✔️ National Education Savings Scheme (SSPN)
✔️ Lifestyle expenses (books, computers, phone, internet, sports gear, EVs)
✔️ Medical expenses (self, spouse, children, or parents)
✔️ Vaccinations & dental treatments
✔️ Child tax relief (under 18 or still studying)
✔️ Registered kindergarten/nursery fees

Important: Keep your receipts for at least 7 years in case of an audit!

Final Reminder

If you’ve had monthly tax deductions (PCB) through your employer, you might be eligible for a refund—so don’t miss out on your potential savings!

Got tax stress? Just take it step by step, be honest, and file before the deadline. That way, you’ll stay on LHDN’s good side!


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