KETUA PENGARAH JABATAN KASTAM DIRAJA MALAYSIA v Hong Leong Yamaha Motor Sdn Bhd
Catchwords
Practice Areas
Judges (5)
Counsel (8)
Case Significance
KETUA PENGARAH JABATAN KASTAM DIRAJA MALAYSIA v Hong Leong Yamaha Motor Sdn Bhd is a Federal Court (Mahkamah Persekutuan) decision dated February 27, 2025 (citation: 01f-24-08-2024b). <p>The Director General of Customs appealed the Court of Appeal's decision allowing Hong Leong Yamaha Motors' claim for sales tax exemption on raw materials under Item 1, Schedule C of the Sales Tax (Persons Exempted From Payment of Tax) Order 2018. The Federal Court held that the exemption provision must be read in the context of the entire Exemption Order and that a registered manufacturer producing both taxable and tax-exempted products is not entitled to blanket exemption for raw materials. The panel comprised Abu Bakar bin Jais, Hanipah binti Farikullah, Harmindar Singh Dhaliwal, Rhodzariah binti Bujang and Zabariah binti Mohd Yusof, with Zabariah binti Mohd Yusof delivering the judgment. Counsel appearing: Dharshini Sharma (counsel for respondent), Liew Horng Bin (counsel for appellant), Lim Chinn Wei (counsel for respondent), Nur Atirah Aiman binti Rahim (counsel for appellant), Rahazlan Affandi bin Abdul Rahim (counsel for appellant), S. Saravana Kumar (counsel for respondent).
Summary
The Director General of Customs appealed the Court of Appeal's decision allowing Hong Leong Yamaha Motors' claim for sales tax exemption on raw materials under Item 1, Schedule C of the Sales Tax (Persons Exempted From Payment of Tax) Order 2018. The Federal Court held that the exemption provision must be read in the context of the entire Exemption Order and that a registered manufacturer producing both taxable and tax-exempted products is not entitled to blanket exemption for raw materials. The appeal was allowed and the High Court's decision was reinstated.
What was the outcome of KETUA PENGARAH JABATAN KASTAM DIRAJA MALAYSIA v Hong Leong Yamaha Motor Sdn Bhd?
<p>The Director General of Customs appealed the Court of Appeal's decision allowing Hong Leong Yamaha Motors' claim for sales tax exemption on raw mat...