August 3, 2020 8:10 PM
Tourism Minister Abdul Karim Rahman Hamzah said Petronas’ move confirmed that Sarawak “does have some authority and rights over oil and gas extracted from its territory”. “This is a sweet victory and, hopefully, Sarawakians will pay back these deeds by giving their full support to the ruling Gabungan Parti Sarawak government in the forthcoming state election,” he told FMT.
“It also indicates Petronas’s acknowledgment and recognition of our constitutional right to impose sales tax on crude petroleum products,” she said in a statement. On March 13, the Kuching High Court ruled that Sabah and Sarawak had the right under the Federal Constitution to impose sales tax on petroleum products, dismissing Petronas’ bid to declare the Sarawak sales tax null and void.
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