PwC Alert (Issue 80): The collection mechanism - Some recent tax cases

Alert 80
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Issue 80: October 2009

In the Director General of Inland Revenue's (DGIR) arsenal of legislative weapons for the recovery of taxes, the most powerful is designed specifically to collect any disputed taxes assessed  as pending resolution. The rule is "pay first and appeal later". The authority for that rule is found in the provisions of Sections 103, 106 and 142 of the Income Tax Act, 1967 (ITA).

In the enforcement of the collection mechanism in the following cases, the DGIR had successfully applied for summary judgment to be entered against the taxpayer by relying on the earlier mentioned provisions :

  • Government of Malaysia v. Holiday Plaza Sdn Bhd
  • Government of Malaysia v. United Axis Sdn Bhd
  • Government of Malaysia v. Kamawang Enterprise Sdn Bhd

Read PwC Alert issue 80 for more details about these tax cases.
PwC Alert is a digest of topical financial and business information for clients and business associates of PwC Malaysia. Whilst every care has been taken in compiling this newsletter, we make no representations or warranty (expressed or implied) about the accuracy, suitability, reliability or completeness of the information for any purpose. PwC Associates Sdn Bhd, its employees and agents accept no liability, and disclaim all responsibility, for the consequences of anyone acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it. Recipients should not act upon it without seeking specific professional advice tailored to your circumstances, requirements or needs.