Southern Chemical Sdn Bhd (SC) is pharmaceutical manufacturer, it has the following assets: a) SC has...
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Southern Chemical Sdn Bhd (SC) is pharmaceutical manufacturer, it has the following assets: a) SC has the following items in its office: RM Printer 4,000 5,000 Office desk (10 units) Office chair (10 units) Movable partition 3,000 5,500 Non-movable partition 12,300 The printer was recorded as an expense in the statement of profit or loss, the other items were recorded in PPE. b) SC leased a tablet counting machine at a yearly lease of RM 15,000 for three years (cost of machine RM 45,000) and it incurred expenditure amounting to RM 4,500 in preparing and leveling land to prepare a site for the installation of the tablet counting machine. c) SC constructed 2 buildings within the area of its manufacturing plant as follows: (i) A building for the living accommodation of the factory workers (ii) A building which houses the office Required: Discuss the tax treatment for each type of the above according to Schedule 3 of Income Tax Act 1967 (Capital Allowances and Charges), NO computation of capital allowance is required. Southern Chemical Sdn Bhd (SC) is pharmaceutical manufacturer, it has the following assets: a) SC has the following items in its office: RM Printer 4,000 5,000 Office desk (10 units) Office chair (10 units) Movable partition 3,000 5,500 Non-movable partition 12,300 The printer was recorded as an expense in the statement of profit or loss, the other items were recorded in PPE. b) SC leased a tablet counting machine at a yearly lease of RM 15,000 for three years (cost of machine RM 45,000) and it incurred expenditure amounting to RM 4,500 in preparing and leveling land to prepare a site for the installation of the tablet counting machine. c) SC constructed 2 buildings within the area of its manufacturing plant as follows: (i) A building for the living accommodation of the factory workers (ii) A building which houses the office Required: Discuss the tax treatment for each type of the above according to Schedule 3 of Income Tax Act 1967 (Capital Allowances and Charges), NO computation of capital allowance is required.
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Related Book For
South Western Federal Taxation Individual Income Taxes 2017
ISBN: 9781305873988
40th Edition
Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young, Nellen
Posted Date:
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