KUALA LUMPUR: The Inland Revenue Board’s application to get a summary judgment in its suit against former Federal Territories Minister Datuk Seri Tengku Adnan Tengku Mansor to recover RM57.17 million in income tax arrears will be heard by the High Court on June 12.
A summary judgment is where a court decides a case without hearing the testimony of witnesses.
Based on information posted on the court website, the hearing is supposed to be heard today before Judge Datuk Azimah Omar, but the date has been vacated to June 12 following the extension of the Movement Control Order (MCO) by the government.
The court also set the same date (June 12) to hear Tengku Adnan’s application for a stay of proceedings.
Tengku Adnan, who is Putrajaya MP, filed the stay application pending the outcome of his appeal to review the tax assessment with IRB.
Tengku Adnan had on Nov 4 last year, withdrawn his application to strike out the summary judgment application by IRB.
On July 24 last year, the Malaysian government filed a writ of summons and statement of claim through the IRB in the High Court here naming Tengku Adnan, who is also former UMNO secretary-general, as defendant.
According to the statement of claim, Tengku Adnan still owed the government income tax for the year of assessment 2012 until the year of assessment 2017 as stated in the Notice of Assessment dated March 15, 2019.
It said the Notice of Evaluation was sent by Registered Mail (A.R) to the defendant on March 20 to his last address and that a signed Notice of Appeal was received on March 22 along with the return of the yellow Registered Mail Acceptance card.
It also stated that since Tengku Adnan failed to pay the income tax amount from 2012 to 2017 within 30 days from the date of filing of the Notice of Assessment as stipulated under Section 103 of the Income Tax Act 1967, a 10 per cent tax increase was imposed.
The plaintiff claimed that Tengku Adnan still did not pay the entire income tax amount along with the 10 percent increase within the 60 days stipulated under Section 103, thus leading to a further five percent tax increase.
Thus, to date, the income tax payment still owed by Tengku Adnan, inclusive of the increase, amounted to RM57,167,069.35.
The break down is RM64,444.38 (2012); RM6,614,861.59 (2013); RM8,887,576.69 (2014); RM9,198,523.67 (2015); RM5,520,818.05 (2016); and RM26,880,844.97 (2017).
Therefore, IRB is seeking from Tengku Adnan a sum of RM57,167,069.35, interest on the sum of RM57,167,069.35 at a rate of five per cent per annum from the date of judgment to the date of realisation, costs and other relief deemed fit by the court.