Astro subsidiaries slapped with LHDN tax, penalty bills

The Inland Revenue Board (LHDN) has slapped Astro Malaysia Holdings Bhd’s subsidiaries – Astro Shaw Sdn Bhd and Measat Broadcast Network Systems a bill over RM734 million including penalties.

The bill is for the period from 2019 to 2023.

Astro Shaw alone owes LHDN RM22,011,627 and Measat owes RM712,865,984 respectively.

“The notices were served pursuant to the disallowance of production costs incurred during the mentioned years,” the pay-TV operator said in a Bursa filing.

The total bill is almost equivalent to half of Astro’s market capitalisation.

Both the subsidiaries have 30 days to appeal against LHDN’s decision and the companies believe that they have fair and reasonable to do so.