• 2021-12-09 10:47 PM

KUALA LUMPUR: The High Court here today ordered businessman Zaidi Kanapiah, better known as Datuk Addy Kana, to pay tax arrears amounting to RM1,427,915.45 to the Malaysian government after failing to enter an appearance against the lawsuit filed by the government through the Inland Revenue Board (IRB).

The order was issued by High Court deputy registrar Maslinda Selamat during the online case management proceedings (e-Review) after a default judgement was filed by IRB.

Based on the court e-filing system, Zaidi as the defendant had failed to file a memorandum of appearance even though the writ of summons and statement of claim had matured on Nov 24 and the court today recorded a default judgement against the defendant with a cost of RM1,500.

The court also ordered the defendant to pay interest at the rate of five per cent per annum from the date of judgment until the date of realisation.

On Oct 1, the government as the plaintiff filed a writ of summons and statement of claim through IRB, seeking to claim RM1,427,915.45 from Zaidi, 37, for two-year tax arrears.

Based on the statement of claim, the government alleged that Zaidi was subject to an additional assessment of RM380,025.73 and RM918,079.23 for assessment years of 2018 and 2019, respectively.

“As the defendant failed to pay income tax within 30 days as stipulated under Section 103 of the Income Tax Act 1967, a 10 per cent increase amounting to RM38,002.57 and RM91,807.92 was imposed and added to the overall income tax for the Years of Assessment 2018 and 2019 that still remain unpaid,” the plaintiff said in its statement of claim.

The plaintiff claimed that to date, the defendant had yet to pay to the plaintiff the amounts and penalties due which come up to RM1,427,915.45.

As such, the plaintiff is seeking the defendant to pay RM1,427,915.45, interests of five per cent per annum from the date of judgment until the date of realisation, costs and other relief deemed fit by the court. — Bernama