KU EK MEI PEMUNGUT DUTI SETEM, UTC JOHOR BAHRU

KU EK MEI PEMUNGUT DUTI SETEM, UTC JOHOR BAHRU

The Court found the High Court erred in accepting JPPH's unexplained adjusted 'N' values over the actual sale consideration ('B') without adequate justification; comparable sales evidence (actual prices) subject to allowances is the primary guide; JPPH's use of its own revaluation of comparables amounted to valuation upon a valuation and lacked necessary evidential foundation. Accordingly the Court allowed the appeal, set market value for the First Subject Lot at RM1,100,000 and for the Second Subject Lot at RM8,301,252.86, set aside the High Court order and ordered refund of excess duty.

Citation
J-01(NCvC)(A)-653-11/2019 (Mahkamah Rayuan)
Parties
Appellant (plaintiff Below): Ku Ek Mei; Respondent (collector of Stamp Duty): Pemungut Duti Setem, UTC Johor Bahru
Court
NCvC
Jurisdiction
Malaysia
Judgment Date
5 August 2020
Case Number
J-01(NCvC)(A)-653-11/2019 (Mahkamah Rayuan)
Procedural Posture
Civil Appeal (stamp Duty) / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal allowed; High Court order dated 31/10/2019 set aside; costs to appellant subject to allocatur
Legal Topics
Stamp Duty Assessment, Market Value Determination, Comparable Method of Valuation, Judicial Review of Administrative Valuation, Refund of Excess Duty
Source Language
Malay/English
Stamp Law Taxation Property Valuation Administrative Law Stamp Duty Assessment Market Value Determination Comparable Method of Valuation Judicial Review of Administrative Valuation +1 more

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Parties

Ku Ek Mei

Appellant (plaintiff Below)

Pemungut Duti Setem, UTC Johor Bahru

Respondent (collector of Stamp Duty)

Procedural Posture

Civil Appeal (stamp Duty) / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Whether the High Court erred in preferring JPPH valuation over appellant's private valuation
  2. 2 Whether JPPH applied correct comparable method and whether using JPPH's own 'N' figures instead of actual consideration 'B' was lawful
  3. 3 Whether court must order refund of excess stamp duty under s.39(4) of the Stamp Act

Ratio Decidendi

The Court found the High Court erred in accepting JPPH's unexplained adjusted 'N' values over the actual sale consideration ('B') without adequate justification; comparable sales evidence (actual prices) subject to allowances is the primary guide; JPPH's use of its own revaluation of comparables amounted to valuation upon a valuation and lacked necessary evidential foundation. Accordingly the Court allowed the appeal, set market value for the First Subject Lot at RM1,100,000 and for the Second Subject Lot at RM8,301,252.86, set aside the High Court order and ordered refund of excess duty.

Court Disposition

Appeal allowed; High Court order dated 31/10/2019 set aside; costs to appellant subject to allocatur

Orders

  • Set aside the High Court order dated 31/10/2019
  • For the First Subject Lot, stamp duty to be assessed based on market value of RM1,100,000