PETALING JAYA: The Inland Revenue Board (LHDN) has allowed DRB-Hicom Bhd’s appeal against an additional RM246.25 million tax imposed over the disposal of a subsidiary of the company.
DRB-Hicom said LHDN notified the company yesterday that the RM246.25 million tax for the assessment year 2020 had been fully discharged after the appeal was allowed, Bernama reported.
DRB-Hicom received a notice of additional assessment in August 2024 as LHDN deemed that the gain from the subsidiary’s disposal was subject to tax under Section 4(a) of the Income Tax Act 1967.
LHDN decided to treat the gain from the disposal of the long-term investment in the unit as income subject to tax.
On Sept 2, the company said it would file an appeal and, if necessary, commence legal proceedings to challenge the basis and validity of the assessment notice.