Sarawak assistant law minister criticises Petronas for failing to pay sales tax on export of petroleum products

Sulok Tawie
Sharifah Hasidah said a notice of assessment was sent to Petronas in September requesting payment of the 5 per cent sales tax. ― Picture by Mukhriz Hazim

KUCHING, Nov 5 — Assistant Minister of Law, State-Federal Relations and Projects Monitoring Datuk Sharifah Hasidah Sayeed Aman Ghazali today criticised Petroliam Nasional Berhad (Petronas) for failing to respond to a notice of assessment issued by the state government to pay the sales tax on the export of petroleum products.

“Yes, it is frustrating and upsetting that they did not even bother to respond. They just keep quiet,” she told reporters at the Sarawak State Legislative Assembly.

She said a notice of assessment was sent to Petronas in September requesting payment of the 5 per cent sales tax on the export of petroleum products.

“We don’t know whether they are going to pay or not. Maybe they are waiting for something,” she said, adding that she is unsure how much Petronas has to pay in sales tax to Sarawak.

In any case, Sharifah Hasidah said the state government will take action against Petronas for failing to pay the sales tax.

“We will take court action as soon as we possibly can or even before the end of this month,” she said.

“It goes without saying that the government will vigorously pursue the matter and the relevant authorities have already put in place for this purpose.

“We will utilise all the legal avenues available so that all sums due from Petronas under the Sales Tax Ordinance are paid and we are ready,” she said.

She said under the state Sales Ordinance 1998, Petronas is obliged to pay the sales tax.

Sharifah Hasidah said Petronas did not pay the sales tax by the end of September, the deadline set by the state government for the oil company to do so, failing which a penalty will be imposed.

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