Breaking News : Najib Razak Served With Bankruptcy Notice By LHDN Over RM1.7b Tax Owed

A bankruptcy notice has been issued to former prime minister Datuk Seri Najib Razak by the Inland Revenue Board (IRB) who visited his home yesterday.

In a report by Malaysiakini, a source close to the convicted politician said the notice is over RM1.7 billion taxes that IRB is seeking from Najib.

“The case has been set for case management at the Kuala Lumpur court this May 5,” said the source.

Malay Mail is currently trying to verify the matter with Najib and the IRB.

The Inland Revenue Board (LHDN) filed a bankruptcy notice against former prime minister Najib Razak for failing to pay RM1.69 billion additional tax arrears for 2011 to 2017.

In the notice filed on Feb 4 sighted by FMT, the taxman said that Najib needed to pay the RM1.69 billion tax arrears along with interest of 5% for each month, amounting to RM45.9 million from the date of the summary judgment, and cost.

On July 22 last year, the High Court allowed the government to proceed with a summary judgment to recover over RM1.69 billion additional tax arrears from Najib.

LHDN also said the decision on the summary judgment had not been stayed since the court delivered its decision last year.

Meanwhile, the High Court set June 11 to hear Najib’s bid to stay the summary judgment against him.

LHDN filed a lawsuit against Najib in 2019, claiming tax arrears of over RM1.69 billion.

High Court judge Ahmad Bache, in granting the summary judgment, ruled that since the notice of assessment had been properly served on Najib pursuant to Section 103(2) of the Income Tax Act 1967, the tax payable under those additional assessments becomes due and payable to LHDN.

READ ALSO  Muhyiddin : If UMNO Wants, Take All 222 Seats & I Too Will Take All - Fight One To One Or One Against Two Also Can

Besides Najib, his sons Mohd Nazifuddin and Mohd Nizar were also slapped with tax bills from LHDN.

The Federal Government is seeking almost RM1.7bil in additional taxes from former prime minister Datuk Seri Najib Razak for the years 2011 until 2017.

The Government, through the Inland Revenue Board (IRB), filed the lawsuit against Najib as the sole defendant at the High Court registry on June 25.

In its statement of claim, the Government said the IRB had sent an additional tax assessment notice via registered post to the defendant’s house address in Taman Duta on March 25 but the notice went unanswered.

According to the notice, Najib must pay RM116,173,374.12 (for the year 2011); RM320,929,932.31 (2012); RM891,573,465.46 (2013); RM119,144,655.51 (2014); RM16,879,500.03 (2015); RM643,445.21 (2016) and RM346,471.41 (2017).

However, Najib’s failure to pay RM1.47bil for the seven years within 30 days from the date of the assessment notice resulted in the first 10% increase, which is in accordance with Section 103 of the Income Tax Act 1967.

As Najib still failed to settle the renewed sum within 60 days under the same Act, a compounded 5% hike was added to the sum, said the plaintiff.

“The plaintiff has the right to recoup the income tax that is still owed along with the increases imposed on the defendant as a tax which is due to be paid,” it said.

It added that until Friday (July 5), the defendant is yet to pay the amount owed.

The Government is claiming a sum of RM1,692,872,924.83 with a 5% per annum from the day of judgment until the sum is satisfied, costs, and any relief deemed fit by the court.

READ ALSO  Shop In Malaysia Marks Up Price Of Face Masks To RM120 Per Box - Company Can Be Fined Up To RM500,000 & 3 Years Jail
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

5 + 9 =

Most Popular

To Top