KOTA KINABALU – Parti Warisan Sabah does not have the right to claim credit for the upcoming petroleum sales tax collection as its president did not act on the matter when he was in power, said a Sabah Star assemblyman.
Tulid’s Flovia Ng, in a statement yesterday, said Datuk Seri Mohd Shafie Apdal may have tried to impose the 5% sales tax on petroleum products when he was chief minister, but did not go through with it.
He also failed to learn from Sarawak’s move to take Petronas to court, she said.
“Luckily, Sarawak was not like Sabah. They knew more about their rights and sued Petronas to collect the sales tax.”
The Kuching High Court ordered the national oil giant to pay its tax dues, and Petronas did not dispute the ruling. The company then arranged for an out-of-court settlement with the Sarawak government.
“Petronas never appealed the Kuching High Court decision to allow Sarawak to collect the 5% sales tax,” said Ng, adding that Shafie should have taken the legal route when he had the chance.
She said the former chief minister did not implement the tax as he was dealing with Tun Dr Mahathir Mohamad at the time, and to go after Petronas would be akin to going against the then prime minister.
She added that federal-state talks on oil and gas proceeds were conducted privately between Dr Mahathir and the Sabah and Sarawak chief ministers last year, but the sales tax was not on the agenda.
Ng said Deputy Chief Minister Datuk Seri Jeffrey Kitingan has met Prime Minister Tan Sri Muhyiddin Yassin to discuss state rights.
“Unlike his mentor Dr Mahathir, Muhyiddin is concerned about Sabah and agreed that the outcome of the Sarawak suit against Petronas would also be applicable to Sabah.”
She dismissed a Warisan rep’s claim that Shafie deserves credit.
“The claim by Merotai assemblyman Sarifudin Hatta that it was Shafie who succeeded in collecting RM1.25 billion in sales tax on petroleum products for Sabah is embarrassing and funny.
“What else can Warisan hope for? They have done nothing for Sabah except cutting ribbons and continuing the projects done by the previous government in the 26 months they were in power.”
Jeffrey recently said the state government will collect the said tax from oil and gas firms operating in the state. – The Vibes, November 11, 2020
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