Peter, a consultant holds several real properties in Malaysia for investment purposes. On 8 August 2016, he
Question:
Peter, a consultant holds several real properties in Malaysia for investment purposes. On 8 August 2016, he disposed of an abandoned house in Negeri Sembilan which he acquired on 1 June 2012 for RM256,000. The disposal price was RM192,000.
On 21 November 2016, he disposed of a piece of vacant land for RM3,500,000 (inclusive of a platinum ring with an agreed price of RM200,000) to his cousin sister. The similar ring could be purchased at Habib Jewel at RM240,000. He purchased the land on 15 June 2012 for RM2,400,000. He spent RM50,000 for bushes clearing of the vacant land prior to the sale.
Compute Peter's liability to real property gain tax (RPGT) for the year of assessment 2016.
Proshop Sdn Bhd is a property investment company. It does not trade in properties. The disposal of properties are as follows:
Date of Date of Chargeable
Acquisition Disposal Gains/Loss
Shop A 21 Jul 2008 05 June 2012 (100,000)
Shop B 31 Nov 2010 17 Nov 2013 (300,000)
Shop C 08 May 2011 03 Aug 2014. 800,000
Required:
Calculate the real property gains tax payable by Proshop Sdn Bhd in respect of YA 2014.
Q3: Mr Chen transferred his house in Kuala Lumpur to his wife, Lee Ling on 10 March 2008 at the market value of RM400,000. The house was bought on 4 April 2007 for RM320,000. In June 2008 Lee Ling incurred RM30,000 on building an extension. Lee Ling subsequently sold the house to Salma on 2 March 2010 for RM500,000.
Required:
Compute the real property gains tax payable by both Mr. Chen and Lee Ling.
Q4: Mike Tyson purchased a piece of land on 21 February 2012 for RM2.0 million. The government on 31 December 2016 subsequently compulsorily acquired the land. Mike was paid compensation of RM4 million for the land.
Required:
Compute the RPGT if any, for Mike Tyson.
Contemporary Business Mathematics with Canadian Applications
ISBN: 978-0134141084
11th edition
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs