State govt issues Notice of Assessment to Petronas over non-payment of sales tax

E11 Platform Complex, Baronia oilfield in Miri. — file pic

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KUCHING, Nov 4: The Sarawak government has issued a Notice of Assessment to Petronas for failing to pay the state sales tax on petroleum products.

Chief Minister Datuk Patinggi Abang Johari Tun Openg said presently, Petronas has yet to pay the tax while other companies have done so.

“In this respect, the state has issued a Notice of Assessment to Petronas for them to make the necessary payment, failing which, the state will allow the law to take its course,” Abang Johari said in his State Budget 2020 speech at the Sarawak Legislative Assembly (DUN) sitting today.

He added that under the State Sales Tax Ordinance 1998, Petronas is legally obligated to pay the sales tax and their failure to do so would be tantamount to breaching the law.

As of September 30 this year, the state has collected RM5.653 billion in revenue, and is expected to collect more towards the end of the year. — DayakDaily