In a Facebook post by the former Minister of Transport, Wee Ka Siong, he revealed that the Universiti Tunku Abdul Rahman (UTAR) has debts of RM83 million, which was imposed by the Inland Revenue Board (LHDN).
However, according to a report by Sin Chew, the Cabinet has decided to write off the RM83 million owed by UTAR, and current transport minister, Anthony Loke Siew Fook said that Prime Minister Anwar Ibrahim, who is also the finance minister, had instructed Treasury secretary-general Johan Mahmood to send a formal letter to UTAR to notify them about the matter.
The RM83 million tax bill, which included fines of up to 45%, was collected from 2017 to 2023, according to Wee Ka Siong.
“The letter will be sent out soon, signaling the end of the issue,” Anthony said.
In an official statement by DAP’s Lim Hui Ying last week, she also revealed that UTAR attempted to appeal to the Ministry of Finance regarding LHDN’s decision to impose outstanding taxes and penalties amounting to RM83 million.
“LHDN has clarified that no tax-exempt status has ever been granted to UTAR under Section 44(6). However, UTAR claims that the income generated by it is similar to that of UTAREF (UTAR Education Foundation).”
Lim said that she has expressed to LHDN the public’s concerns about whether this represents a new tax formula aimed at collecting additional revenue for the government.
“LHDN assured me that this is not the case and that they are adhering to existing conditions and guidelines governing institutions granted tax-exempt status.”
What do you think of the decision to write off UTAR’s debts?
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This post first appeared on WORLD OF BUZZ.