KUALA LUMPUR (Jan 9): IDimension Consolidated Bhd has been slapped with an additional income tax and penalty of RM406,019 by the Inland Revenue Board (IRB).

In a filing with Bursa Malaysia, IDimension said its wholly-owned subsidiary IDB Interactive Sdn Bhd received via email, a notice of additional assessment for its 2013 and 2014 assessment years.

This involved an additional income tax of RM280,013 and a 45% penalty of RM126,006.

IDimension said these were imposed by IRB, considering expenses charged in the two years were not qualified for tax deduction under Section 33(1) of the Income Tax Act, 1967.

“In view that the disputed expenses were mainly on documents related to IDB in years of assessment 2013 and 2014, where IDB was yet to be wholly-owned by the company, the company will not pursue further appeal with IRB,” the filing read.

In turn, the group said it will apply with IRB to settle the additional tax, together with the imposed penalty on IDB, in instalments.

IDimension’s share price closed unchanged at seven sen today, giving it a market capitalisation of RM35.36 million.