To declare tax or not for u "grey income", u have to determine the numbers (value) of the properties u may purchase in future and plan in advance.

Some income may be untraceable by IRB. If u don't declare that income, IRB may not know that u have that income. Thus, they will not suspect your income at the moment.

However, if u use this income to buy properties, then they may suspect your income. This let to tax audit.

If u want to be good citizen, then no one can stop u to declare all sorts of income including "grey income". U have to pay more tax and "contribute" to the country.

The problem arises in the inefficiency of the IRB.
It is proven that many people in this country are evading tax.
If u are legal SALARY earners, then u are listed at the bottom of the "tax hierachy(TM)", u can't evade any tax, u have to pay all the salary tax.

On the other hand, they are those businessmen/people in our country are evading tax.
Why?
It is due to the bad management of the IRB.
We have good tax laws but the enforcement is very bad.
If u want to do business in our country, then here is a right place u have chosen.
Many rich businessmen had been migrated to oversea, but their biz still in Malaysia.
U can see many folks drive their fancy car on the road and live in big bungalows.
Are u jealous?

U want to declare or not for all sorts of income including u "grey income" is really your choice!
Of course u have to take the risk for not declaring it!
No risk no money!

This post has been edited by Nepo: Jan 28 2012, 09:14 AM