Masidi says Sabah will take action to recover state sales tax

 

Masidi Manjun said there had been discussions over the refusal by the two companies to pay state sales tax. (Bernama pic)

KOTA KINABALU: The Sabah state government remains fully committed to recovering state sales tax due on the sale of petroleum products from both Repsol Oil and Gas and SEA Hibiscus, second finance minister Masidi Manjun said today.

He was responding to a recent statement by Hibiscus Petroleum Bhd over the refusal by the two companies, which are its wholly-owned subsidiaries, to pay the state tax.

He said the state government reserved its rights to take any action deemed necessary to recover the tax due.

Masidi said that there had been discussions between the representatives of the parties in relation to this issue.

However, the matter had reached an impasse. He said both companies remained liable and had a continuing obligation to make payment for the outstanding tax, including penalties. - FMT