KUALA LUMPUR, Tenaga Nasional Bhd has received an additional tax bill of RM840.13 million from the Inland Revenue Board (IRB) for the Year of Assessment (YA) 2022.
The new assessment comes shortly after the utility giant lost a RM1.25 billion tax dispute for YA 2018 in the Federal Court earlier this month. The court ruled that Tenaga had incorrectly claimed tax incentives intended for manufacturers rather than utilities, which carry lower relief.
In a filing with Bursa Malaysia on Friday (July 25), Tenaga said it received the latest notice from the IRB on July 24 and is currently reviewing its legal options in light of the Federal Court’s decision regarding the 2018 assessment.
“The evaluation includes the fact that TNB has submitted an application for Investment Allowance under Schedule 7B of the Income Tax Act 1967 — covering YA 2022 — to the Minister of Finance,” the group said.
TNB was first issued a RM1.81 billion tax bill in July 2020, which was later reduced to RM1.25 billion through a consent order in December that year, waiving penalties.
The group has been in a prolonged dispute with the IRB since 2015 over various tax assessments, with a total of RM5.05 billion in disputed taxes still unresolved, according to its annual report.
On Friday, TNB was the second-biggest decliner by value on Bursa Malaysia, falling 34 sen or 2.44% to RM13.60, bringing its market capitalisation to RM79.28 billion. The stock has fallen 9% year-to-date.
