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2018 MarsdenLR 2393
COURT OF APPEAL PUTRAJAYA
MANDARIN PAVILION SDN BHD – Appellant
Versus
CHANG VUI LUN & ANOR – Respondent
[Civil Appeal No: S-02(A)-705-04/2017]
Petitioner Advocates:Lim Pitt Kong ,Respondent Advocate: Ryan Soo
Important Points
Payment of GST is not recoverable from purchasers under a purchase agreement lacking explicit provisions for such liability.
Subject
Tax Law - Goods and Services Tax
Act Referred
Headnote
The appeal pertains to the applicability of the Government Service Tax under an agreement predating the GST Act's implementation. The High Court's ruling absolving respondents of GST liability was challenged on the grounds that the contract's provisions did not foresee GST. The court's analysis centered on the interpretation of the contract's clause regarding liability for new fees, concluding that GST is not recoverable from the respondents. The appeal was dismissed, reaffirming the respondents' non-liability for GST costs.
| Table of Content |
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| 1. appeal related to gst payment in contract before gst act. (Para 1 , 2 , 3) |
[1] This appeal related to the sole issue of whether the Government Service Tax (GST) is payable by the respondents/plaintiffs in the context of an agreement entered between the appellant/defendant and the respondents prior to the introduction of the Goods and Services Tax Act 2014 (GST Act).
[2] The High Court held that no GST was payable by the respondents premised on the learned judge's construction of cl 25 of the agreement between the parties, resulting in this appeal.
[3] We heard the appeal and dismissed the same. We now give our reasons for our decision.
