KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim and the government want to strike out their names from Datuk Seri Mukhriz Mahathir’s RM5mil tax assessment lawsuit.
In a notice of motion, Anwar and the government applied for their names – listed as the second and third respondents respectively – to be nullified in the application for leave for judicial review dated Dec 20, 2024, as well as in supporting affidavits by Mukhriz.
The respondents are also seeking for all the proceedings in the judicial review to be postponed until the application is heard and disposed of, with costs and other reliefs deemed fit by the court.
In a supporting affidavit, affirmed by senior federal counsel Nur Irmawatie Daud earlier this month, it was stated that the subject matter of Mukhriz’s judicial review application was the Inland Revenue Board’s (LHDN) letter dated Sept 27, 2024, on additional tax assessment notices.
The notices were for additional tax assessment for 2017 (RM2,558,875.90); 2018 (RM2,445,004.91); and 2019 (RM16,826.37).
Anwar and the government contended that there is no need to list them as respondents in the judicial review.
“This action is clearly frivolous, vexatious and an abuse of court process that is obviously unsustainable and should be struck out by this honourable court,” it said.
On Jan 2, the High Court granted Mukhriz leave to challenge the tax notices by LHDN on grounds that there were issues that needed to be ventilated.
The court fixed April 16 to hear the application on its merits.
Mukhriz filed the application on Dec 20 last year, and named the LHDN director-general or CEO, Anwar and the government as the first, second and third respondents respectively.
He seeks a court order to quash the first respondent’s additional tax assessment notices for 2017, 2018 and 2019, amounting to RM5,020,707.18, on grounds that the action is illegal and unreasonable.
He also seeks a declaration that the decision to impose the penalty on him under Section 113(2) of the Income Tax Act 1967 is void and beyond legal authority.
Mukhriz contends that LHDN wrongfully considered his disposal of shares in Opcom Holdings Bhd and dividends received from M Ocean Capital Sdn Bhd as taxable income when, he said, they were not taxable.
He is also seeking general and exemplary damages against the respondents.
Mukhriz, 60, a son of former prime minister Tun Dr Mahathir Mohamad, is a former Kedah mentri besar and ex-MP of Jerlun.
He is currently Pejuang president.
