EMPLOYMENT INCOME , DIVIDEND , INTEREST INCOME - individual tax
15 important questions on EMPLOYMENT INCOME , DIVIDEND , INTEREST INCOME - individual tax
What is required to enjoy reliefs, rebates, and scale rates in terms of residence status?
- To be resident
- Para 21 Sch 6. Less than 60 days = NR
Describe the relationship and income type in a contract of service.
- There is a master + servant relationship.
- Income = employment income.
What is the relationship and income type in a contract for service?
- There is a principal + agent relationship.
- Income = business income.
- Higher grades + faster learning
- Never study anything twice
- 100% sure, 100% understanding
For my 1st exam, I got a C. Then, I started looking for ways to learn better, and I came across Study Smart. Since then, I have scored an A+, A, A-, and another A. I highly recommend it to everyone who wants to hear it. I am so happy with it!!
I was struggling to finish all my first-year subjects for three years. Then I discovered Study Smart, which helped me to complete all of them within three months.
Because of StudySmart, things are going well in many ways. Before, I always had study stress and no time for anything. Now I feel calm and confident (because of the program). I used to score a B, and now I usually score an A or A+.
Hey Chris, I really want to thank you very much for developing the platform, I usually got around C for my exams, now I scored an A+, an A and a A- !!
Since using Study Smart, my average has increased significantly. I even completed a statistics course with an A+ while I'm bad at statistics. I took on extra classes this year because of Study Smart. Thanks so much!
Ever since I started studying with StudySmart, I have passed all my exams! No more re-sits! At first, I was happy with a pass, and now I only get good grades. Many thanks!
I aced all the courses I studied with Study Smart. For law, I first scored a D, and now an A! I’m 100% sure that I’ll pass all the courses I study with Study Smart.
I always thought I studied well. My grades were fine. I could never have imagined that applying these study skills would have such a huge and direct impact on each stage, my speed, and the pleasure I have in learning.
For the first time, I finally feel confident about the way I learn. I have the perfect overview and have made significant progress in terms of speed and the grades I get. Thanks, Chris!
I immediately started to enjoy learning again, and my grades soared. All of a sudden, everything went better. I highly recommend Study Smart to all students..
Being able to create my materials online made the process of studying so much smoother and quicker. I no longer have to spend a considerable amount of my time developing my summaries.
At first, my notes were a mess. Now I use Study Smart to take my notes in a perfectly structured way. It helps me to save a lot of time and do other things I enjoy.
Students that study with Study Smart get better grades. The system applies all the learning methods so that both well-performing students and students who struggle perform much better.
Hi Chris, I would like to thank you very much. Last year I scored C on a course, and this year I got an A+ thanks to your method! Thank you very much!
The most considerable effect is that my child is more enthusiastic about school! Every parent wants their children to be happy at school. Study Smart made it happen.
In high school, I failed several exams, and that has really changed now. I actually needed this tool very much back then. Since I started studying with StudySmart, I haven't had any Ds. My average score is now an A, and those are results I would have never had in the past.
With my old method, I passed only 3 out of 8 courses. However, since I started taking my notes digitally in Study Smart, I have passed all my lessons on the first try. For me, StudySmart takes away the stress of wondering if I will give or not.
Thanks to StudySmart, I passed all my exams and with better grades than before! On top of that, I have mastered a perfect study method now, which I am confident will help me earn my degree.
List the factors to determine if it is a contract of service or contract for service.
- Nature of remuneration in salaries, EPF for employment and consultancy fees for contract for service.
- Delegation of duties.
- Extent of control.
- Provision of equipment.
What are the differences in tax treatment between a contract of service and contract for service?
- Contract of service: Income taxable only when received in YA of receipt, cannot claim CA, lesser deductible expenses, exp>income= permanent loss, cannot c/f.
- Contract for service: Taxable on accrual basis in YA of receivable, can claim CA, more deductible expenses, exp>income= current yr business loss (CYBL), CYBL can set off aggregate income, excess loss c/f up to another 10 YAs.
How does the remuneration package reduce s13 (1) (a) income?
- Reduces the s13 (1) (a) income as, normally, the whole cash amount received is taxable.
What form of income is eligible for exemption to retain more s13(1)(a) income?
- Travelling allowance, parking allowance, meal allowance, child allowance.
What should be provided to the employee as BIK and why?
- Provide more BIK to the employee, such as company’s car, petrol, maid, gardener etc.
- These incomes are taxable only on the amount prescribed by the public ruling which is normally lower than the actual amount benefited.
How is accommodation provided to the employee assessed?
What is the tax status of a company on profits and dividends?
- Company is taxable on profits at 24%.
- Shareholder is exempt (para 12 B Sch 6).
- No double tax = no tax credit
How is a unit trust taxed, and what is the tax status of the unit holder?
- Unit trust is taxable at 24%.
- Unit holder is taxable on gross distribution.
- Double tax.
- S110 tax credit claimable? Yes.
What are the tax implications for a REIT with tax-exempt profit?
- Distribute >=90% of profits
- Profit is tax exempt.
- REIT will deduct withholding tax as a final tax.
- Unit holder does not report distribution as income.
Describe the tax situation for a REIT with taxable profit at 24%.
- Profit is taxable at 24%.
- Unit holder taxed on gross distribution.
- Double tax.
- S110 tax credit claimable? Yes.
What is the tax status of an LLP on profits and distributions?
- LLP taxable on profits.
- Partner tax exempt (para 12C Sch 6).
- Cannot claim S110 tax credit.
Does LLP have master, servant rs?
The question on the page originate from the summary of the following study material:
- A unique study and practice tool
- Never study anything twice again
- Get the grades you hope for
- 100% sure, 100% understanding
