JUDGMENT

Ahmad Kamal Md Shahid J:

Introduction

[1] This is an appeal by the appellant by way of case stated against the Deciding Order of the Special Commissioners of Income Tax (SCIT) dated 12 October 2017 pursuant to para 34 of Schedule 5 of the Income Tax Act 1967 (ITA 1967).

[2] The SCIT had unanimously disallowed the appellant's claim and/or appeal against the respondent's decision to raise additional assessment on the appellant for the Year of Assessment (YA) 2010. The SCIT had maintained the decision of the respondent to subject the gains obtained by the appellant pursuant to the sale of six pieces of land on 6 August 2010 to income tax under s 4(a) of the ITA 1967.

Background Facts

[3] The established facts found by the SCIT are as stated at paras 7.1 to 7.13 at pp 4 to 7 of the Case Stated as follows:

(i) Ziranhao Agricultural Sdn Bhd was incorporated in Malaysia on 16 October 2002 under the Companies Act 1965. The original directors of the company when it was formed were Chee Kin Heng, Law Boon Hak and Chee Siew Ping. The company closes its accounts every 31 December. The company from the day it was established has been in the business of operating a bee farm and selling honey