Maxis agrees to RM73m global settlement with Inland Revenue Board

MAXIS Bhd has reached a global settlement, agreeing to pay RM73 million to the Director General of Inland Revenue (LHDN) to resolve notices of additional assessment and penalties covering the period from 2016 to 2023.

The telecommunication group revealed that both the Director General of LHDN and Maxis Broadband Sdn Bhd (MBSB) have mutually accepted the terms of the global settlement, and a formal agreement will be established in compliance with the Income Tax Act 1967.

This proactive step aims to swiftly resolve the matters with the DGIR.

In March 2021, MBSB received an additional assessment notice of RM230 million for the years 2018 and 2019.

Prior to that, on November 20, 2020, MBSB faced a RM140 million tax bill for the years 2016 and 2017.

These assessments totaled RM477 million from 2016 to 2020, a challenge that Maxis pursued in court.

However, on November 27, the High Court dismissed Maxis Broadband’s application for judicial review concerning the additional assessment and penalty of RM140 million for 2016 and 2017, and RM71.7 million for 2021.

Maxis shares fell 4 sen or 1.08% to RM3.68, resulting in a market capitalisation of RM28.822 billion. — TMR