Introduction

[1] This is an appeal by Ketua Pengarah Hasil Dalam Negeri (the Appellant) against the Deciding Order of the learned Special Commissioners of Income Tax (SCIT) dated 26 August 2020 according to para 34 of Schedule 5 of the Income Tax Act 1967 ( ITA ) in respect of the Notice of Additional Assessment for the Year of Assessment (YA) 2013.

[2] The SCIT had allowed the appeal by way of Form Q by the Respondent against the assessment raised by the Appellant.

[3] The Appellant, partially dissatisfied with the aforesaid Deciding Order, filed a Notice of Appeal dated 14 September 2020 requesting the SCIT to give their grounds of judgment for the opinion of the High Court and this appeal is now before this Court for the Court's Opinion whether based on the facts stated by the SCIT, the SCIT's decision was correct in law.

[4] After the hearing, I allowe