JUDGMENT

Introduction

[1] The primary issue that falls for adjudication and decision in these two appeals brought by the Appellants, Mohd Najib Abd Razak ('Najib Razak') and Mohd Nazifuddin Mohd Najib ('Nazifuddin'), is the constitutionality of s 106(3) of the Income Tax Act 1967 ('ITA'). The primary ground put forward by the Appellants is that s 106(3) usurps judicial power in art 121 of the Federal Constitution ('FC'). It is also contended that the impugned section contravenes art 5(1) FC in that it does not accord the Appellants a fair trial and impedes their right of access to justice.

[2] It is submitted that this contravention arises because s 106(3) expressly limits the defences available to a taxpayer seeking to challenge a summary claim brought by the Respondent, the Government of Malaysia, represented by the Inland Revenue Board ('Inland Revenue') as a debt due, based on monies assessed to be due from the taxpayer. The statutory provision in issue, namely s 106(3) ITA, stipulates that "the Court shall not entertain" any plea that the tax claimed is 'excessive, incorrectly assessed, under appeal or incorrectly increased...'. This limitation on defences that may be considered by the Court, it is maintained, amounts to a usurpation of judicial power as stated above, and therefore warrants being struck down under art 4(1) FC.