MK Land unit served with RM64.64 million claim for 2009, 2010 taxes

MK Land unit served with RM64.64 million claim for 2009, 2010 taxes
-A +A

KUALA LUMPUR (April 13): MK Land Holdings Bhd’s wholly-owned subsidiary Saujana Triangle Sdn Bhd (STSB) has been served with a writ of summons and statement of claim dated April 10 for RM64.64 million in taxes allegedly owing for the years of assessment 2009 and 2010.

“Upon consulting its solicitors and tax consultants, STSB is of the view that there are reasonable grounds to challenge the claim brought against them on the basis that there is a valid appeal pending before the Special Commissioners of Income Tax,” said MK Land in a bourse filing today.

The group said it will make further announcements if there is any material update on the matter.

Last month, MK Land said RM80.77 million in income tax and penalties claimed against STSB by the Inland Revenue Board (IRB) had become due, after the Court of Appeal upheld the High Court’s decision.

The High Court had previously disallowed STSB’s application for leave and stay to commence judicial review, which was made in respect of the IRB’s notices of assessment.

The additional income tax by the IRB was for the years of assessment of 2009, 2010, 2011 and 2013, partly due to the gains from disposal of land in 2009, which should be treated as revenue instead of capital.

MK Land closed unchanged at 17.5 sen, giving it a market capitalisation of RM210.8 million.