YNH Property unit gets IRB approval for RM5.16m tax settlement plan

KUALA LUMPUR (July 24): Property developer YNH Property Bhd’s (KL:YNHPROP) wholly-owned subsidiary, YNH Construction Sdn Bhd, has received approval from the Inland Revenue Board (IRB) for a settlement plan to resolve its outstanding tax arrears, which had resulted in a winding-up petition by the tax authority.

In a filing with Bursa Malaysia, YNH Property said no winding-up order was made against YNH Construction on July 16, 2026, and that continued discussions with the IRB had led to a revised settlement arrangement. The court has scheduled a further hearing for Oct 27, pending completion of the tax settlement.

On July 23, 2026, YNH Construction received approval from the IRB to settle RM5.16 million in tax arrears by Sept 10, 2026. The IRB also agreed to waive RM1.71 million in tax penalties if the settlement terms are fulfilled.

On July 16, the company said the winding-up petition was initiated against YNH Construction due to its failure to settle outstanding tax liabilities amounting to RM7.21 million. No breakdown of the tax arrears was provided at the time.

“The approved settlement arrangement provides YNH Construction with a clear and structured path to resolve this matter,” YNH Property’s board said in a statement.

YNH Property explained that it had refrained from making a further announcement immediately after the hearing, as the revised settlement arrangement remained subject to the IRB’s final approval and formal written confirmation. Following receipt of the IRB’s written confirmation on July 23, 2026, the company verified the terms of the approved settlement arrangement and considered it more appropriate to provide shareholders with a comprehensive update.

On Thursday, YNH Property announced that it has deferred RM34.4 million coupon payments to preserve cash for its ongoing developments, including Solasta Dutamas and its township projects in Seri Manjung.

The group had RM22.39 million in cash and deposits as at March 31, 2026, compared to RM26.83 million a year earlier.

YNH Property’s shares closed almost 10% higher at 40 sen a share on Friday, valuing the company at RM211.6 million.

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