KUCHING, July 8: The outcome of Sarawak Sales Tax (SST) entitlement between Sarawak government and national oil and gas company, Petronas will be made known at the court hearing on Aug 3, said Deputy Chief Minister Datuk Amar Awang Tengah Ali Hasan.
Speaking to reporters after the handing over of land titles at Kampung Pueh, he said it is better to wait for the court outcome on Aug 3.
“In our joint committee which consist of Sarawak government, Federal government and Petronas, we have agreed on the ‘terms of reference’ in the first meeting. We also discussed on the Petronas’ payment and settlement owed to Sarawak,” he said.
When asked by reporters when will Petronas pay up the RM2 billion of SST for 2019 to Sarawak, Awang Tengah merely disclosed they are still in the midst of discussion and negotiation.
Sarawak had imposed a 5 per cent sales tax on petroleum products on Jan 1 last year under the state’s Sales Tax Ordinance 1998.
On March 13, High Court Justice Azhahari Kamal Ramli ruled that according to the Federal Constitution, Sabah and Sarawak had the right to impose sales tax on their petroleum products.
However Petronas, in a court proceeding on June 23, had applied for a postponement and Court of Appeal judge Justice Kamaludin Md Said then fixed Aug 3 for mention of the case.-DayakDaily