Daim's wife Na'imah fails to get stay on IRB's RM313mil tax arrears


KUALA LUMPUR: The Shah Alam High Court has dismissed an application by Toh Puan Na’imah Abdul Khalid, the wife of former finance minister Tun Daim Zainuddin, for an interim stay against an order requiring her to pay RM313.82mil in income tax arrears to the Inland Revenue Board (IRB).

Judge Dr Shahnaz Sulaiman ruled that the court found no exceptional circumstances warranting Na'imah's request for a stay, emphasising that the respondent (IRB) holds the legal authority to enforce tax collection under the Income Tax Act (ITA) 1967.

In her judgment released on Friday (Oct 18), Shahnaz reiterated that tax payments must be made regardless of the amount, even if legal proceedings are ongoing.

Regarding the substantial tax amount in question, the court clarified that the definition of a "large sum" is relative.

"To the ordinary citizen, a tax assessment of RM30,000 may be considered substantial. Nevertheless, as per the ITA, even such amounts must be paid. The law applies equally to all,” she said.

"Whether the tax assessment is RM30,000 or RM30mil, the law must be applied equally. Since this case pertains to tax payments, any amounts collected can be refunded by the respondent if necessary,” Shahnaz added.

Na'imah, 67, had sought an interim stay pending the outcome of her judicial review application challenging the IRB’s additional tax assessments for the year 2018.

On Aug 13, she filed for a judicial review to quash the IRB's demand for RM313.82mil in tax arrears.

In her supporting affidavit, Na’imah claimed that the tax assessment against her was based on unsubstantiated allegations of over RM700mil in undeclared income for the year 2018, which she described as baseless.

She also alleged that the IRB had failed to refund RM3.807bil in taxes owed to her from the year 2017 and prior. - Bernama

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Court , Na'imah , IRB , Tax Arrears , Interim Stay , Dismisses

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