IRB files suit against Najib’s lawyer Shafee over RM9.41m of unpaid taxes across five years

KUALA LUMPUR, May 17 : The Inland Revenue Board (IRB) has filed a suit against lawyer Tan Sri Muhammad Shafee Abdullah for alleged tax arrears of some RM9.41 million (RM9,414,708.32) over a period of five years.

In its lawsuit filed at the Kuala Lumpur High Court on May 6, IRB alleged that Muhammad Shafee owed the government the sum for unpaid tax over five years — 2011 (RM434,326.37), 2012 (RM978,854.11), 2013 (RM3.58 million), 2014 (RM1.73 million) and 2016 (RM1.82 million).

The RM9.41 million included additional late payment penalty incurred by Muhammad Shafee’s failure to settle the outstanding tax arrears between 2011 and 2016.

Lawyer Tan Sri Muhammad Shafee Abdullah speaks during a news conference at the Court of Appeal, Putrajaya on April 5, 2021. — Picture by Miera Zulyana
Lawyer Tan Sri Muhammad Shafee Abdullah speaks during a news conference at the Court of Appeal, Putrajaya on April 5, 2021. — Picture by Miera Zulyana

According to the Income Tax Act, if the balance of tax payable is not paid by the due date, a penalty of 10 per cent will be imposed on the outstanding amount.

If the tax payable and penalty is still outstanding within 60 days from the due date, an additional penalty of 5 per cent will be imposed on the tax and penalty outstanding.

In court documents sighted by Malay Mail, IRB said notices of assessments for the five years were mailed to Muhammad Shafee’s last known address here on May 31, 2019 but the notices were never returned to IRB.

Muhammad Shafee currently represents former prime minister Datuk Seri Najib Razak in the SRC International Sdn Bhd and 1Malaysia Development Berhad corruption trials who is also currently facing similar tax arrears lawsuits from IRB.

By : KENNETH TEE – MALAY MAIL

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