the environment, Malaysia ratified the Kyoto Protocol on 4th September, 2002.
However, it is worth highlighting that, in 1967, Malaysia enacted the Petroleum Taxation through which tax is imposed on income earned from the winning of petroleum. Specifically, winning of petroleum refers to any mineral oil or relative hydro- carbon and natural gas existing in its natural condition and casing head petroleum spirit. Years later, Malaysia introduced the 1974 Environmental Quality Act to show their concern in protecting the environmental quality. Although this tax was initially imposed to gain revenue, it can also be seen as the first step taken by the Malaysian government to address issues relating to the environment. Globally, countries are looking at the best ways to show their concern regarding environmental hazards, which are the result of development activities. The imposition of carbon tax, green tax, energy tax and petroleum tax are some of the methods used to reduce environmental damage. For instance, carbon tax is imposed on the carbon content of goods or directly on the emissions of greenhouse gases, which is one of the alternatives to lower the level of pollution produced by the industries ([1]). In addition, carbon tax is paid on the consumption of energy products, such as fuel, or on each extracted fossil fuel ([2–4]). Despite having different names, these taxes have been introduced for the purpose of overcoming the negative impact resulting from the use of non-environmental products and services.