KUALA LUMPUR (Jan 24): The High Court here has granted Genting Malaysia Bhd (GENM) leave to commence judicial review proceedings against the ministry of finance's (MoF) decision to amend the 2014 tax incentive approval in December 2017.

"Today (Jan 24), the Kuala Lumpur High Court (has) granted GENM’s application for leave to commence judicial review of the MoF decision and a stay of the MoF decision pending disposal of the judicial review application before the High Court," it said in a filing with Bursa Malaysia.

The amendment had effectively prolonged the utilisation period of the tax allowances granted to the Genting Integrated Tourism Plan (GITP) by MoF in December 2014 "significantly", said GENM.

GENM added that while it had subsequently submitted an appeal to MoF, but the appeal was turned down in September 2018. 

To recap, in December 2014, the MoF had granted tax incentives for the GITP, which among others, entitled GENM to claim for income tax exemption equivalent to 100% of qualifying capital expenditure incurred for a period of 10 years. 

However, the ministry had decided to amend the 2014 tax incentive approval in December 2017, which effectively prolongs the utilisation period of the tax allowances significantly.

GENM said it will make the necessary announcements once there is a material development in relation to the matter.

GENM shares closed down 8 sen or 2.45% to RM3.18 today, with 31.23 million shares traded, bringing a market capitalisation of RM17.98 billion.