Dear Sifus,

Would really appreciate your input and advise.

I sold off my apartment back in 2018 and I engaged the purchaser’s lawyer to handle the sale, as it is much cheaper to do so and less of a hassle than if I were to engage a separate lawyer. As usual the lawyer withheld a portion of the sale price (30% of the profit as I sold within the first year) to pay for the RPGT (real estate gains tax) as I made a small profit from the sale. I received the balance of the sale price and everything seemed fine.

Fast forward 2 years later, I received a letter from LHDN stating that the RPGT has not been paid and they are also penalizing me on top of the original tax amount for the unpaid taxes, the unpaid RPGT was around RM8k and the penalty was around RM2k plus, total was around RM10k plus. This was quite a shock to me as the lawyer has already withheld my RPGT amount and supposedly paid on my behalf.

I immediately contacted the lawyer who handled my SPA and transfer (which also happens to be a partner in the firm), they replied they will check and get back to me. So it happens they have already paid the RPGT back in 2018, they have a copy of cheque to prove it and they will sort this out with LHDN.
Fast forward another month, I received another letter of demand from LHDN, this time they deducted the RM8k (initial tax amount) but the penalty still remained, meaning I still owe LHDN RM2k plus in penalties. Confused on the matter, I called LHDN directly to clarify, the PIC (Person in-charge) stated that they have indeed received the RPGT payment however they did not receive the Borang CHKT1A, as such the penalty remains until they received it.
With this in mind, I contacted my lawyer and asked them about the Borang CHKT1A, they claim they have submitted it and will find the ‘stamped received’ copy in their archives and will settle this issue with LHDN.

Fast forward a month later, I continue to receive letters from LHDN stating I still owe them the penalty amount and threatening to bar me form travelling abroad if the penalty is not paid. I follow-up with the lawyer and they told me they need time to search for the documents, as it has been archived in their store. This goes on for the next few weeks and months, I would call them to follow-up, but they just reply they are still searching and haven’t found it yet. I suspect they mistakenly did not submitted the CHKT1A form, but of course they would not admit it.

Then came the MCO lockdowns, during this period, I didn’t expect anything to happen with most offices and government agencies closed, so I stopped following up during this period. When the MCOs lifted, I started following up again, when I called the law firm, I was told the lawyer in-charge of my case resigned (partner resign, strange isn’t it?).

My case has since been transferred to the managing partner, but the answer is always the same, they are still searching for my Borang CHKT1A and they will appeal against my penalties/fines. This has been going on for 2 years now and still not settled. I believe they are hoping they I will just give up, forget about it and pay fines myself.

Is there any action I can take against my lawyer? Or am I resigned to pay the penalties/fine for a mistake which is not of my doing.

Any advise on the next course of action is most welcomed, thanks

Report them to BAR Council!

THere are many stupid / reckless / irresponsible lawyers cari makan with bad ways!!!!

report them!!!!

Cover ur backside!