Restu Sdn Bhd, a company resident in Malaysia manufactures canned food and spare parts for export....

 

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Restu Sdn Bhd, a company resident in Malaysia manufactures canned food and spare parts for export. During 2022, the company entered into agreements with a few companies as follows: Date 1/1/2022 Company Purpose Addy GMBH, 1. Supply of materials Germany resident company a) b) c) 2. Training of local employees regarding operation and maintenance 3. Supply of plant and machinery 4. Installation of plant and machinery Loan of RM20 million Details Cost: RM2 million Payment: RM400,000 1/5/2022 JIT Co.Ltd a 1. Japan resident company Additional information: The payments related to the above agreements were made on 31 December 2022. Required: 2. Transfer of technical know- how and assistance Cost: RM3,600,000 Payment: RM200,000 Interest: 9% per year Royalty: RM80,000 Justify the deductibility of withholding tax from each payment. Compute the withholding tax for each payment If Restu Sdn Bhd fails to remit the withholding tax within one (1) month after the payment is made to the non-resident, compute the total sum that shall be due to the government. Restu Sdn Bhd, a company resident in Malaysia manufactures canned food and spare parts for export. During 2022, the company entered into agreements with a few companies as follows: Date 1/1/2022 Company Purpose Addy GMBH, 1. Supply of materials Germany resident company a) b) c) 2. Training of local employees regarding operation and maintenance 3. Supply of plant and machinery 4. Installation of plant and machinery Loan of RM20 million Details Cost: RM2 million Payment: RM400,000 1/5/2022 JIT Co.Ltd a 1. Japan resident company Additional information: The payments related to the above agreements were made on 31 December 2022. Required: 2. Transfer of technical know- how and assistance Cost: RM3,600,000 Payment: RM200,000 Interest: 9% per year Royalty: RM80,000 Justify the deductibility of withholding tax from each payment. Compute the withholding tax for each payment If Restu Sdn Bhd fails to remit the withholding tax within one (1) month after the payment is made to the non-resident, compute the total sum that shall be due to the government.

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a Justification for the deductibility of withholding tax from each payment Supply of materials Cost RM2 million Payment RM400000 The payment made for ... View the full answer