Settle 5% petroleum sales tax immediately, Chong tells Petronas

Chong Chieng Jen

KUCHING, March 13: Petronas must settle the 5 per cent state sales tax on petroleum products without delay, following the decision of the High Court, said Sarawak DAP chairman Chong Chieng Jen.

The High Court has dismissed the judicial review application filed by Petronas and ruled that the State Legislative of Sarawak has the power to enact law and impose the sales tax on petroleum products.

“Now that the High Court has finally decided on the issue of the state’s rights to impose the sales tax, it is incumbent upon Petronas to make the payment without any delay.

“Petronas, which is under the Prime Minister Office’s jurisdiction, should not delay the matter with appeal to the Court of Appeal on the High Court’s decision,” he said in a statement today.

He congratulated the state government on its victory in the judicial review application taken up by Petronas challenging the rights of Sarawak to impose sales tax on crude oil extracted within Sarawak waters.

“It is surely a decision welcomed by all Sarawakians,” he said.

Chong, who is also Stampin MP, added that Sarawak DAP has always maintained their stand that what was rightfully Sarawak’s, should be accorded to Sarawak.

“That is why, in last year’s DUN (State Legislative Assembly) sitting, DAP Sarawak through (Pending assemblywoman) YB Violet Yong submitted the motion in DUN to refer the matter to the court of law to adjudicate on the state’s rights to impose the sales tax.

“We are glad that the court has ruled in favour of the state and we hope Petronas will pay the sales tax promptly,” he continued. — DayakDaily