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Thursday, December 21, 2023

High Court orders Shafee to pay RM5.5m in tax arrears

 


Lawyer Muhammad Shafee Abdullah was ordered by the High Court in Kuala Lumpur today to pay over RM5.5 million in income tax arrears to the Inland Revenue Board (IRB).

Judicial Commissioner Roz Mawar Rozain issued the order after senior revenue counsel Norhisham Ahmad informed the court of the final amount to be paid by Shafee, which is RM5,529,577.70.

"We are also asking for costs of RM10,000," said Norhisham, who was assisted by senior revenue counsel Muhammad Faqrol Syazreen Mohd Ghause.

However, Muhammad Farhan Muhammad Shafee, representing his father, requested RM5,000 in costs.

Roz Mawar set costs at RM10,000, saying that the amount was reasonable.

Farhan then told the court that he would seek instructions from his client on whether to appeal against today's decision.

Last Dec 15, the same court allowed IRB's application for a summary judgment against the veteran lawyer.

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

Muhammad Farhan Muhammad Shafee

On Sept 28, 2021, the IRB requested that its suit against Shafee, which was filed on May 6 of the same year, be decided by summary judgment due to the defendant’s failure to pay income tax arrears amounting to RM9,414,708.32.

The IRB claimed that the lawyer failed to pay the amount, including the increase in the amount, for the assessment years 2011, 2012, 2013, 2014 and 2016.

On Oct 28, 2022, Shafee was acquitted and discharged on two counts of receiving proceeds from unlawful activities amounting to RM9.5 million from former prime minister Najib Abdul Razak and two charges of making incorrect statements to the IRB.

The prosecution initially appealed against the court's decision but withdrew it on Dec 5. This resulted in the acquittal of Shafee in all four cases.

Bernama

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