Firm fined for failing to file income tax
BANDAR SERI BEGAWAN
A COMPANY was imposed a $3,000 fine yesterday after its director admitted that they have yet to file in their income tax particulars over a period of several years.
The director of Narbarte’s Sdn Bhd had initially claimed trial over the charge on the ground that it was his partner who ran the company.
However, yesterday the director decided to change his plea and admitted to three charges of failing to file the income tax particulars between 2011 and 2013.
During the proceedings yesterday, the company was imposed $3,000 fine and was given two months grace period to settle the fines.
Additionally, the court also ordered for the seizure of the company’s properties in the event the company fails to pay the fine.
The court document stated that on August 5, 2014, final notices under Section 52 of the Income Tax Act (Chapter 35) were issued and served via registered post by the Collector of Income Tax to the defendant to make a return of the whole income of the Defendant accrued in, derived from or received in Brunei for the years 2011, 2012 and 2013.
The defendant was given 30 days from date of the final notices to comply with the final notices and submit all the required documentations.
After 30 days had lapsed, Revenue Division did not hear anything from the defendant. The division found that the notices were returned and in October 2014, further found that the company has moved to another address.
On October 15, 2014, the Revenue Division, met one of the directors, Elma Emo Moner and a new 30-day deadline was agreed between both parties.
On November 15, 2014, Revenue Division received a letter from the defendant requesting for an extension of time until February 28, 2015 which the Revenue Division agreed to.
However, on February 4, 2015, Revenue Division received a second request for an extension for the company to submit the returns as their director, Elma Emo Moner had gone back to the Philippines for her maternity leave. An extension until April 30, 2015 was given and Revenue Division informed the company that no further requests would be entertained.
However, as of April 30, 2015, the defendant still failed to submit their Income Tax Returns.
The defendant has since failed, without any reasonable excuse, to furnish the Revenue Section, Ministry of Finance, a return of income and particulars form that is required for the purpose of ascertaining the income tax of the company as required for all companies pursuant to Section 52 of the Income Tax Act (Chapter 35).
Under Section 52 of the Income Tax Act (Chapter 35), companies are required to furnish a return of income and such particulars as may be required for the purpose of ascertaining the income, if any, for which such person is chargeable under the Income Tax Act (CAP 35). Failure to comply with Section 52 of the Income Tax Act (Chapter 35) is an offence under Section 78(1)(a) of the Income Tax Act (Chapter 35).
The Brunei Times