INCOME TAX ACT 1967 (ACT 53)
PART VII - COLLECTION AND RECOVERY OF TAX




Section 103A. Payment of tax by companies


(1) This section shall apply only to companies.

(2) Except as provided in subsection (3), tax payable under an assessment for a year of assessment shall be due and payable on the due date whether or not that company appeals against the assessment.

(3) Where an assessment is made under subsection 90(2A), section 91, 92 or 96A, or where an assessment is increased under subsection 101(2), the tax payable under the assessment or increased assessment shall be due and payable on the service of the notice of assessment or composite assessment or increased assessment, as the case may be, on the company assessed whether or not that company appeals against the assessment or increased assessment.

[Am. Act A1093: s.13]

(4) Where any tax due and payable under subsection (2) has not been paid by the due date, so much of the tax as is unpaid upon the expiration of that date shall without any further notice being served be increased by a sum equal to ten per cent of the tax so unpaid, and that sum shall be recoverable as if it were tax due and payable under this Act.

(5) Where the tax due and payable has been increased under subsection (4), any balance remaining unpaid upon the expiration of sixty days from the due date shall without any further notice being served be further increased by a sum equal to five per cent of the balance unpaid, and that sum shall be recoverable as if it were tax due and payable under this Act.

(6) Subject to subsection (8), where any tax due and payable under subsection (3) has not been paid within thirty days after the service of the notice, so much of the tax as is unpaid upon the expiration of that period shall without any further notice being served be increased by a sum equal to ten per cent of the tax so unpaid, and that sum shall be recoverable as if it were tax due and payable under this Act.

(7) Where the tax due and payable has been increased under subsection (6), any balance remaining unpaid upon the expiration of sixty days from the date of such increase shall without any further notice being served be further increased by a sum equal to five per cent of the balance unpaid, and that sum shall be recoverable as if it were tax due and payable under this Act.

(8) Where any tax is payable in accordance with subsection (3), the Director General may allow the tax to be paid by instalments in such amounts and on such dates as he may determine and in the event of default in payment of any one instalment on the date specified for payment the balance of the tax then outstanding shall be due and payable on that date and shall without any further notice being served be increased by a sum equal to ten per cent of that balance, and that sum shall be recoverable as if it were tax due and payable under this Act.

(9) Where the tax due and payable has been increased under subsection (8), any balance remaining unpaid upon the expiration of sixty days from the date of such increase shall without any further notice being served be further increased by a sum equal to five per cent of the balance unpaid, and that sum shall be recoverable as if it were tax due and payable under this Act.

(10) [Repealed by Am. Act A1093: s.13]

(11) Notwithstanding the foregoing subsections, where tax due and payable is increased by a sum under subsection (4), (5), (6), (7), (8) or (9), the Director General may in his discretion for any good cause shown remit the whole or any part of that sum and, where the amount remitted has been paid, the Director General shall repay the same.

(12) For the purposes of this section, "due date" means the last day of the sixth month from the date following the close of the accounting period.

[Ins. Act A1069: s.9]
____________________________________________

[Shall have effect for the year of assessement 2004 and subsequent years of assessment.]

[This section is to be deleted by Act A1151:s.16]


Related reading:
[Act A1069: s.9; Act A1093: s.13]


Copyright 2002 PNMB LawNet. All rights reserved.