1. Albert work as a waiter earning RMI , 500 per month in Restoran Sedap in Penang. He was a kind and polite worker. As a result, he received good tips for his behavior. For the year 2019, his total tips amounted to RM4 500. He argues that his tips are gifts given voluntarily by customers and therefore not chargeable to tax.

During the same year, he married the restaurant cashier, Annie and the proprietor of Restoran Sedap

gave him RMI,OOO wedding angpow.

Required:

Explain whether all receipts (tips and angpow) are taxable on Albert. (5 marks) (b) Given below is the information for three taxpayers and their chargeable income for YA2020.

	Name	Status	Char eable income
i)	Tom	Resident	86,750
ii)	Andy	Resident	178,900
iii)	Xavier	Non-resident	67,500

Required:

For each individual above, compute their income tax liability for YA2020 using the income tax rates given in the appendix.

(6 marks)