Malaysia tax burden less than most G8, BRIC Nations

Malaysia collects just 21 per cent of gross domestic product (GDP) in tax, lower than the majority of G8 and BRIC nations, according to UHY, the international accounting and consultancy network. On average, both the G8 and the fast-growing "BRIC" nations take 28 per cent of GDP in tax. China and Brazil collect a higher proportion of GDP in tax than Malaysia. Among the G8, only Russia collects less tax than Malaysia (19pc), Malaysian News Agency (Bernama) reported. Malaysia collected US$49.8 billion (RM159 billion) of taxes from GDP of US$238.8 billion in the most recent tax year. Of that total, indirect taxes comprised US$6.2 billion and income taxes US$22.7 billion. UHY research shows that the three major Eurozone economies - Germany, France and Italy - collect on average 43.4 per cent of GDP in tax. (QNA)