KUALA LUMPUR: Tenaga Nasional Berhad (TNB) and Malakoff Corporation Berhad joint venture Kapar Energy Ventures Sdn Bhd has settled a RM596 million tax bill from Inland Revenue Board Malaysia (IRB) out of court.
"Pursuant to an out-of-court settlement with the IRB, Kapar Energy Ventures has withdrawn the judicial review application before the High Court on 21 June 2023. The out-of-court settlement between Kapar Energy Ventures and the IRB, has no material impact to TNB's financial position," the company said in its filing with Bursa Malaysia Securities.
On 1 November 2021, Kapar Energy Ventures, a 60% subsidiary of TNB Power Generation Sdn. Bhd received notices of assessments for the years 2011 through 2018 amounting to RM596 million from IRB.
The hefty bill led Kapar Energy Ventures to apply for a judicial review of the assessments by the High Court.
TNB's share priced closed unchanged at RM9.19 yesterday, while Malakoff closed unchanged at 58.5 sen.