KUALA LUMPUR: Businessman Datuk Mohamad Nizar, the son of former prime minister Datuk Seri Najib Razak, has recorded a consent order with the Special Commissioners of Income Tax (SCIT) in the RM13.1mil tax suit filed by the Inland Revenue Board (LHDN) against him.
Lawyer Wee Yeong Kang confirmed that Mohamad Nizar – who is the Pekan Umno Youth division chief – had recorded the consent order before the SCIT on Aug 26.
“He will be withdrawing his appeal at the Court of Appeal,” Wee said when contacted.
The appeal was brought up for online case management yesterday.
Wee represented Mohamad Nizar while senior revenue counsel Muhammad Nabil Abdul Halim appeared for LHDN in the proceedings.
Wee said the appeal case has been fixed for further case management on Sept 9.
“The Sept 9 date is to update the status of notice of discontinuance (on the appeal). We have emailed the notice to the LHDN litigation branch in Kuala Lumpur (on Sept 3) and will be filing it as soon as it is approved by LHDN,” he added.
On Aug 7 last year, the Shah Alam High Court ordered Nizar, 43, to pay RM13.16mil in unpaid taxes from 2011 to LHDN in a summary judgment.
A summary judgment is when a court makes its decision without going to a full trial.
In her 14-page judgment, Judicial Commissioner Julie Lack Abdullah ruled that there were no triable issues since the board’s claim against Mohamad Nizar is not time barred.
She added that it is settled law that a person who owes taxes must first pay up before appealing to the SCIT.
Mohamad Nizar then filed an appeal against the summary judgment to the Court of Appeal.
On May 31 this year, it was reported that Mohamad Nizar had come to an agreement to settle his tax arrears with the LHDN.
LHDN had filed a writ of summons against Mohamad Nizar on July 24, 2019, seeking a payment totalling RM13,159,821.94 for the assessment years from 2011 until 2017.