KUALA LUMPUR, Oct 21 — Former finance minister Lim Guan Eng has urged the federal government to expedite the repayment of RM29.919 billion in tax refund arrears, warning that holding back businesses’ own money severely strains corporate liquidity, particularly among struggling small and medium enterprises (SMEs).
Lim, who is the member of parliament for Bagan, pointed to the 2025 Federal Government Financial Statements, which show that outstanding tax refund liabilities decreased by RM3.425 billion, dropping from RM33.342 billion in 2024 to RM29.919 billion in 2025.
While acknowledging the Inland Revenue Board (IRB) for whittling down the balance owed to firms that overpaid their taxes, Lim stressed that the outstanding sum remains colossal by any benchmark, especially since it belongs to the private sector.
