Malaysia

Shafee, IRB to settle RM9.41 million income tax suit

Court fixes Dec 15 to hear agency’s application for summary judgment.

Updated 2 years ago · Published on 04 Dec 2023 3:24PM

Shafee, IRB to settle RM9.41 million income tax suit
Lawyer Tan Sri Muhammad Shafee Abdullah and the Inland Revenue Board are negotiating to explore the possibility of settling a suit filed by the latter to recover more than RM9.41 million in income tax arrears owed by him. – The Vibes file pic, December 4, 2023.

LAWYER Tan Sri Muhammad Shafee Abdullah and the Inland Revenue Board (IRB) are in the process of settling a suit filed by the latter to recover more than RM9.41 million in income tax arrears owed by him.

Counsel Datuk Seri Rajan Navaratnam, representing Shafee, told High Court Judicial Commissioner Roz Mawar Rozain that the parties are also seeking an adjournment of today’s hearing due to the new development (to settle the suit).

The court was scheduled to hear IRB’s application for a summary judgment against Shafee today.   

(A summary judgment is obtained when the court decides on a case through written submissions without a full trial and calling witnesses).

Roz then set 8.3am on December 15 to hear the application for a summary judgment by IRB.

“If there is no settlement, I have to proceed with the case. This case has gone long enough,” she added.

Meanwhile, Rajan told reporters that both parties are negotiating to explore the possibility of a settlement.

“We just want to see if it can be resolved amicably,” he said.

Senior revenue counsel Al-Hummidallah Idrus, representing IRB, said the agency had responded to a proposal sent by Shafee last month to settle the case.

On September 27, 2021, the IRB applied for its suit against Shafee, which was filed on May 6, to be decided through summary judgment, on grounds that the defendant had failed to pay the income tax arrears amounting to RM9,414,708.32 within the stipulated time.

IRB claimed that the lawyer failed to pay the amount of income tax owed for the assessment years 2011, 2012, 2013, 2014 and 2016, including the increase on the imposed sum.

On October 28 last year, the High Court acquitted and discharged Shafee on two charges of receiving proceeds from unlawful activities amounting to RM9.5 million from former prime minister Datuk Seri Najib Tun Razak and two charges of making incorrect statements to the IRB.

However, the prosecution filed an appeal against the court’s decision on November 1 last year. – Bernama, December 4, 2023.

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