Malaysia legislation
Section 15
Section 15
(1)
Where any taxable person –
(a)
fails to apply for a licence under section 10;
(b)
fails to furnish a return under section 14; or
(c)
furnishes a return which appears to the Director to be incomplete or incorrect, the Director may assess to the best of his judgment the amount of State sales tax due and payable by the taxable person and shall forthwith notify him of the assessment in writing.
(2)
Where an amount has been paid to any person as being a refund of State sales tax under this Enactment which ought not to have been paid to him, the Director may assess the amount of the refund as being State sales tax due and payable by him and shall forthwith notify him of the assessment in writing.
(3)
The assessment under subsections (1) and (2) shall not be made more than six years from the date on which the State sales tax was due and payable or from the date on which the refund of State sales tax was made, as the case may be, except where in the opinion of the
Director any form of fraud, willful default or negligence has been committed by or on behalf of any person in relation to the State sales tax or refund, the Director may, for the purposes of
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making good any loss of State sales tax or payment of refund of State sales tax attributable to the fraud, willful default or negligence, make an assessment at any time.
(4)
The proper officer of State sales tax may assess the State sales tax payable on any taxable goods.
(5)
Where any taxable person has obtained control of any taxable goods, the Director may require him to account for the taxable goods.
(6)
Where the taxable person fails to account for the taxable goods under subsection
(5)
by reason that –
(a)
the taxable goods have been sold by him;
(b)
the taxable goods have been removed by way of sale; or
(c)
the taxable goods have been lost or destroyed, the Director may assess to the best of his judgement the amount of State sales tax that would have been chargeable in respect of the taxable goods if the goods had been sold by him and shall forthwith notify the taxable person of the assessment in writing.
(7)
Where –
(a)
the Director has made an assessment of State sales tax under subsection
(1)
in respect of paragraph (1)(a) or (b);
(b)
the State sales tax assessed under paragraph (a) has been paid but no return has been furnished for the taxable period to which the assessment relates; and
(c)
the taxable person fails to furnish a return for any subsequent taxable period, the Director may, as he deems fit, assess an amount of State sales tax greater than that which he otherwise would have considered to be appropriate.
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(8)
Where it appears to the Director that the amount which ought to have been assessed in an assessment under subsection (1), (2), (4), (6) or (7) exceeds the amount which was so assessed, he may –
(a)
under the same provision as that assessment was made; and
(b)
within the taxable period during which that assessment could have been made, make a supplementary assessment of the amount of the excess and shall forthwith notify the taxable person in writing accordingly.
(9)
Where an amount of State sales tax has been assessed and notified to any taxable person under subsection (1), (2), (6) or (8), it shall be deemed to be an amount of
State sales tax due and payable by him and may be recovered accordingly and the amount of
State sales tax shall be paid by the taxable person, whether or not that taxable person a ppeals against the assessment, to the Director unless or except to the extent that the assessment has been withdrawn or reduced by the Director.
(10)
The Director may make any alteration in or addition to the assessment made under this section as he deems fit to ensure the correctness of the assessment and shall forthwith notify the person in writing.
Composite assessment