07/07/2026 09:31 PM

Company, Director Charged Over RM48,249 Unpaid Service Tax

CHUKAI, July 7 (Bernama) -- A company and its director were charged at the Kemaman Sessions Court today with 14 counts of failing to pay service tax and penalties amounting to RM48,249.44 three years ago.

Teraju MHA Group Sdn Bhd and its director, Mohammad Habibullah Awang, 43, each pleaded not guilty to seven charges read out before Judge Wan Suhaila Mohd.

According to the charges, the company, represented by Mohammad Habibullah as the person summoned (OKS), failed to pay service tax totalling RM34,463.90 and penalties amounting to RM13,785.54 for the taxable period.

All the offences were allegedly committed at the Royal Malaysian Customs Department (JKDM) Kemaman Station, Jalan Kampung Tengah, Kuala Kemaman, between May 1, 2023 and Oct 31, 2024.

The charges under Section 26(8) of the Service Tax Act 2018 provide for a fine not exceeding RM50,000 or imprisonment for a term of up to three years, or both, upon conviction.

JKDM prosecuting officer Mohmad Khazaiddi Mohd Nor requested that bail be set at RM21,000 for the company director, but Mohammad Habibullah, who was unrepresented, pleaded for a lower amount, citing his modest income and responsibility for supporting three employees.

The court then allowed bail of RM12,000 with one surety and set Aug 27 for the submission of documents and appointment of a lawyer.

--BERNAMA