When a taxpayer receives a Notice of Assessment or Additional Assessment from the Director General of Inland Revenue (DGIR), the law allows them to appeal if they are not satisfied with the tax charged. This process is governed by Section 99(1) of the Income Tax Act 1967 (ITA).

Time Limit to File an Appeal

An appeal must be made within thirty (30) days from the date the Notice of Assessment is served. The taxpayer must file the appeal using Form Q, which is the prescribed form issued by the Inland Revenue Board of Malaysia (IRBM).

Failing to submit Form Q within the 30-day period may result in the loss of the right to appeal, unless the taxpayer provides valid reasons and applies for an extension of time, which is subject to DGIR’s approval.

Example 1: Individual Taxpayer

Sarah, a school teacher, submitted her Income Tax Return Form (ITRF) for the Year of Assessment (YA) 2019 on 2 May 2020.

Later, following a field audit, the DGIR issued an Additional Assessment for YA 2019 on 10 September 2020, and the notice was officially served on 15 September 2020.

If Sarah disagrees with the assessment made by the DGIR, she has the right to file an appeal by submitting Form Q no later than 15 October 2020 (i.e., within 30 days from the date of service).

Example 2: Company Taxpayer

Alpha Sdn Bhd, a manufacturing company that closes its financial accounts on 31 December every year, also earns interest and rental income.

The company submitted its ITRF for YA 2019 on 15 June 2020. Although Alpha Sdn Bhd complied with all Public Rulings (PRs), it disagreed with the tax treatment on interest expenses stated in PR No. 2/2011.

Under subsection 90(2) of the ITA, the deemed notice of assessment is considered served on 15 June 2020, the same date the return was furnished.

Since Alpha Sdn Bhd does not agree with the tax treatment applied to its interest expenses, it may file an appeal under Section 99 by submitting Form Q no later than 15 July 2020.

Key Takeaway

Every taxpayer in Malaysia — whether an individual or a company — has a legal right to appeal against a tax assessment that they believe is incorrect or unfair. The most crucial factor is timeliness: Form Q must be filed within 30 days from the date of service of the assessment.

If you are uncertain about how to prepare Form Q, what reasons to include in your appeal, or how to request an extension of time, it is advisable to seek legal assistance from an experienced tax lawyer who understands the Income Tax Act 1967 and the DGIR appeal process.

Contact Our Tax Litigation Team

If you wish to challenge a DGIR assessment or require guidance on filing Form Q, contact our team for professional legal advice.

📞 Lawyer Khoo, Managing Partner
📧 [email protected]
📱 +6016-557 4789

At NZSK Legal, we help individuals and businesses navigate Malaysia’s tax appeal system with precision and care — protecting your rights every step of the way.