(SME TAX STORY) Show Too Much Revenue, Kena. Hide Too Much Revenue, Also Kena. 😳

One adviser told a listed company to show more revenue.

An SME boss may tell the accountant to show less income.

Different direction.
Same dangerous game: changing the numbers.

On 28 October 2026, the High Court upheld the conviction of a former adviser to Axis Incorporation Berhad.

He wasn’t a director. But the court found he instructed the company to inflate revenue in four unaudited quarterly results.

The result: six months’ jail for each charge, and a total fine of RM800,000.

Now imagine this conversation in an SME office.
“Boss, got some cash sales not in the accounts.”
“Never mind. Don’t report those. Help me pay less tax.”

The accountant pauses.
“Boss, you want to save tax. I may end up explaining this to the court.”

Under Section 114(1A) of the Income Tax Act, a person who helps or advises on preparing a tax return that understates someone else’s tax liability may face a fine of RM2,000 to RM20,000, jail of up to three years, or both.

The recent Penang case involving Penshrimp Fishery Sdn Bhd is a publicly reported Section 114(1A) prosecution.

Accountant Chew Ai Keow pleaded not guilty. The charge alleges she helped prepare a sales ledger that left out about RM10.68 million in sales, leading to an alleged tax understatement of about RM2.53 million for YA 2020. FMT

There is a reasonable-care defence, but “Boss told me to” is not a magic shield.

Boss, don’t ask your accountant to hide income.
Accountant, don’t let a client’s instruction turn into your problem.

More revenue to impress people.
Less income to pay less tax.
When the numbers are deliberately changed,
somebody may have to answer for them.

Sometimes the most expensive sentence in the office is:
“Just help me adjust a bit, lah.”