The government through the Inland Revenue Board (LHDN) has filed separate suits against two other allies of fugitive businessman Low Taek Jho over income tax arrears totalling RM9.3 million.
The writs of summons against Casey Tang Keng Chee, 56, and Jasmine Loo Ai Swan, 43, demanding that they pay arrears in income tax of RM6.8 million and RM2.5 million respectively, were filed at the High Court in Kuala Lumpur on Dec 4, 2020 and Jan 8, 2021.
The cases came up for e-review today. Case management for the summons against Tang, the former executive director of 1MDB, has been set for March 8 while case management for Loo, the former lawyer of 1MDB, will be held on Feb 18.
In the statement of claim against Tang, the government as the plaintiff alleged that for the tears of assessment from 2009 to 2017, the defendant was due to pay RM260,560.26, RM473,004.48, RM1,600,810.12, RM257,694.20, RM1,074,455.28, RM1,428,296.28, RM701,285.00, RM310,502.16 and RM57,866.40 based on the notice of assessment for the said years, dated Sept 30, 2020.
The plaintiff claimed that notices of assessment were sent by registered mail to the defendant on Oct 6, 2020, to his last known address at Taman Sri Endah, and were received by the plaintiff based on the signed acknowledgement receipt (AR) card.
The plaintiff further stated that credit surplus of RM972.00 due to the defendant was utilised and deducted as part payment of income tax for the assessment year of 2009, leaving an outstanding balance of RM259,588.26 for that year.
The plaintiff claimed that as the defendant failed to pay income tax within 30 days of the delivery of the notices of assessment as provided for under Section 103 of the Income Tax Act 1967, an increase in tax of 10% was imposed, meaning the defendant is required to pay the overall income tax for the assessment years of 2009 until 2017 totalling RM6,779,852.36, as well as 5% interest from the date of judgment until the realisation date, as well as costs and other relief deemed fit by the court.
In the statement of claim against Loo, the plaintiff alleged that for the assessment years 2012, 2014 and 2016, the defendant was due to pay RM1,495,366.08, RM571,979.72 and RM75,292.96 based on the notice of assessment dated Oct 19, 2020.
The plaintiff claimed that notices of assessment were sent by registered mail to the defendant on Nov 18 2020, to her last known address in Damansara Heights, which was known by the plaintiff at the time, and never returned to the plaintiff.
“The defendant also failed to submit the individual return forms under Section 77 of the Income Tax Act 1967 for the assessment years 2017 and 2018 to the plaintiff within the stipulated time period on or before April 30, 2018, and April 30, 2019.
“Assessments of RM76,510.72 and RM50,062.40 (including penalties) for 2017 and 2018 were raised in the notices of assessment dated Oct 19, 2020, sent to the defendant’s last known address, and which were never returned to the plaintiff,” it said.
The plaintiff said as the defendant had failed to pay income tax within 30 days of delivery of the notices of assessment, an increase in tax of 10% was imposed, with the defendant required to pay the total tax arrears of RM2,496,133.05 as well as 5% interest from the date of judgment until the realisation date, in addition to costs and other relief deemed fit by the court.
This follows the government’s suit filed on Jan 15 against another of Jho Low’s allies, Eric Tan Kim Loong, demanding payment of income tax totalling RM68 million.