Malaysia

Director gets penalty, fine for failure to declare company income

This involves business returns for 3 years.

Updated 2 years ago · Published on 23 Nov 2023 5:02PM

Director gets penalty, fine for failure to declare company income
The director of an oil palm fruit transport company in Sabah has been fined RM10,000 and subjected to a special penalty of RM899,657.64 by the magistrate’s court in Tawau for failure to declare the company’s revenue for three years. – Pixabay pic, November 23, 2023.

THE director of an oil palm fruit transport company in Sabah was fined RM10,000 and subjected to a special penalty of RM899,657.64 by the magistrate’s court in Tawau today for failure to declare the company’s revenue for three years. 

Magistrate Dayang Aidaku Amira Aminuddin meted out the sentence to Chu Chen Yiap, 38, after he pleaded guilty to the charge when it was read out to him.  

Chu, a director of Indah Dutamas Sdn Bhd failed to submit a statement in Form C to the Inland Revenue Board (IRB) for the assessment years 2017, 2018, and 2021 for a taxable revenue of RM1,628,090 for which the tax due was RM299,885.88. 

He was charged under Section 112(1A) of the Income Tax Act 1967, which carries a fine of between RM1,000 and RM20,000, or maximum imprisonment of six months, or both, and a special penalty of three times the tax owed.  

Dayang Aidaku ordered Chu to three months in prison if he failed to pay the fine. Chu settled the fine.  

She also ordered him to pay a special penalty to IRB and submit the income tax declaration Form C within 30 days from today.   

IRB prosecuting officers Mohd Arif Hermansah and Mohd Kamarulzaman Mohd Nor appeared for the prosecution, while Chu was unrepresented. – Bernama, November 23, 2023 

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