PETALING JAYA: Aeon Credit Service (M) Bhd has received a writ of summons together with a statement of claim filed by the government in respect of taxes that are purportedly due for years of assessment 2010 till 2016.
In a filing with Bursa Malaysia, the company said that the matter has been fixed for case management at the High Court on July 23.
Upon consulting its tax solicitors, the company maintained its stance that there is a good basis in law to challenge the validity of the taxes and penalties demanded by the director general of Inland Revenue Board (IRB) as well as the civil proceedings commenced against the company.
“This is especially when at all material times, the company had sought professional advice from an independent and reputable firm of tax consultants on its tax treatment and that the notices of additional assessment for the years of assessment 2010 and 2011 are time barred,” it said.
To recap, the company was slapped with a RM96.82 million bill for additional income taxes with penalties, for the seven years of assessment by IRB in December 2017.
The taxes and penalties were in relation to the IRB varying the loan transaction collaterised by receivables undertaken by Aeon Credit with a local financial institution to that of a sale of receivables.
The IRB had also raised time barred assessments for years of assessment 2010 and 2011 but did not provide any reason for doing so. The penalties were for alleged submission of incorrect returns.
The company subsequently filed for an appeal but the High Court decided to not grant its application for a stay of the notices of the additional assessment. In May last year, the company said it would challenge the High Court’s decision.
The company’s share price rose 0.48% to close at RM16.78 today with 200,900 shares traded.