A mid-sized precision components manufacturer engaged KS Lau & Co following an internal review which suggested that historical GST input tax claims had been understated across multiple production lines and capital projects.
The challenge
Multiple acquisitions of plant and machinery, mixed taxable and exempt outputs, and incomplete supplier tax invoices had created uncertainty over the recoverable position. The finance team did not have the bandwidth to reconstruct supporting documentation across three financial years.
Our approach
- Mapped every supplier and capital expenditure category against GST treatment.
- Reconstructed missing tax invoices and reconciled them to ledger entries.
- Engaged with suppliers to reissue compliant documentation where needed.
- Quantified eligible claims and drafted a voluntary disclosure pack for submission.
Outcomes
The Firm recovered RM 2.4 million of previously under-claimed GST input credits and implemented a documented monthly control routine that reduced future leakage by an estimated 38%. The engagement also surfaced procurement contract clauses that were re-negotiated to improve cash flow on capital projects.
