Masidi: Sabah entitled to RM3.019bil from last year's income tax, Customs

 By Olivia Miwil

April 28, 2026 @ 2:13pm

Sabah Deputy Chief Minister and Finance Minister Datuk Seri Masidi Manjun (right) says the state stands to receive more than RM3 billion in revenue from income taxes and Customs payments from last year. Pic courtesy of Sabah Finance Ministry

KOTA KINABALU: Sabah is entitled to at least RM3.019 billion from federal revenue collected in the state last year, said Datuk Seri Masidi Manjun.

The Sabah finance minister said, for 2025, total collections from direct taxes under the Inland Revenue Board and indirect taxes under the Customs Department are estimated at RM7.547 billion.

"Based on this, Sabah's 40 per cent special grant entitlement amounts to approximately RM3.019 billion," he said in reply to questions during the Sabah Legislative Assembly sitting by Alias Sani (Warisan-Sekong) and Datuk Seri Jeffrey Kitingan (Star-Tambunan) on the exact amount Sabah is entitled to from federal revenue collected in the state.

Masidi, who is also deputy chief minister, said Customs duties and income tax are two categories of taxes that are clear and not in dispute, as both figures are publicly available through annual statistics.

He added that these taxes should be paid first.

"That is why we sent a letter on April 10 requesting that the federal government pay the 40 per cent share of these two undisputed taxes.

"All taxes that we believe we are entitled to, we will claim. We are still in the process of negotiation, and there are data that we cannot share at this time," he said.

Masidi said the decision not to reveal certain figures publicly is to preserve Sabah's negotiating position.

"We do not negotiate through the press, but directly with the other party. There are statistics we can share, but others remain under discussion and should not be made public as it may affect our position," he added.