KUALA LUMPUR: The Inland Revenue Board (IRB) is expected to implement an automatic pay deduction scheme by January 1, 2012 for those who take loans from the national fund for higher education or PTPTN.
IRB director general and chief executive officer, Tan Sri Hasmah Abdullah, said his department was drafting the laws, systems and operations together with PTPTN to enable it to collect loan repayments more effectively.
“The draft which is being fine-tuned will be presented at the Parliament the latest by June next year,” he said at a ceremony to mark the conclusion of IRB’s eRAS (electronic revenue accounting system) project, here yesterday.
Hasmah said the laws were important to enable IRB to take action in case the PTPTN borrowers do not repay their loans.
Presently, the borrowers can still make their payments voluntarily through IRB as the department is one of the channels through which the loans can be repaid.
The IRB was given responsibility as an agent of collection for PTPTN loan repayments following the problem faced by PTPTN with those who failed to repay their loans.— Bernama