COVER Buku Panduan B 2007 - Hasillampiran2.hasil.gov.my/pdf/pdfam/B2007_Guidebook_2.pdfForm B...

GUIDEBOOK INCOME TAX OF AN INDIVIDUAL

(RESIDENT WHO CARRY ON BUSINESS)

2007

SELF ASSESSMENT SYSTEM Mesra Membantu Memuaskan

Form B Guidebook Self Assessment System

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CONTENTS OF GUIDEBOOK

ITEMS PageForeword 1

What Is Form B Guidebook? 1Reminder Before Filling Out The Form 3

Part 1 — Form BBasic Information 6

Part A : Particulars of Individual 6Part B : Particulars of Husband / Wife 8Part C : Statutory Income and Total Income 8

Part D : Deductions 13Part E : Tax Payable 18

Part F : Status of Tax For Year Of Assessment 2007 22Part G : Income of Preceding Years Not Declared 22Part H : Particulars of Executor of the Deceased Person’s Estate 23

Part J : Particulars of Business Income 23Part K : Special Deduction, Further Deduction and Double Deduction 25Part L : Incentive Claim / Exempt Income 25

Part M : Financial Particulars of Individual 26Declaration 29

Particulars of Tax Agent who Completes this Return Form 29Reminder 29

Part 2 — Working Sheets

HK-1 – Computation of Statutory Income from Business 30HK-1B – Computation of Statutory Income from Partnership Business 34

HK-1C – Computation of Statutory Business Income for the Individual 34Entitled to Claim Schedule 7A Allowance

HK-1D – Computation of Statutory Business Income for the Individual 34Entitled to Claim Increased Exports Allowance for QualifyingServices

HK-1E – Computation of Statutory Income from Pioneer Business 35HK-1.1 – Computation of Mining Allowances 35

HK-1.2 – Summary of Capital Allowances 35HK-1.3 – Adjustment of Losses for Business and Partnership 35HK-1.4 – Adjustment of Losses for Pioneer Business 36

HK-2 – Computation of Statutory Income from Employment 36HK-2.1 – Receipts under Paragraph 13(1)(a) 39

HK-2.2 – Computation of Taxable Gratuity 40HK-2.3 – Computation of Tax Allowance 40HK-2.4 – Benefits-In-Kind (BIK) [Paragraph 13(1)(b)] 40


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HK-2.5 – Benefit/Value of Accomodation Provided [Paragraph 13(1)(c)] 41HK-2.6 – Refund from Unapproved Pension or Provident Fund, 42

Scheme or SocietyHK-2.7 – Computation of Taxable Compensation 42

HK-3 – Tax Deduction under Section 110 (Dividends) 42HK-4 – Particulars of Properties/Assets and Total Rental 42HK-5 – Computation of Statutory Income from Interest/Royalties 42

HK-6 – Tax Deduction under Section 110 (Others) 43HK-7 – Not Applicable to Form B (Not Enclosed) -HK-8 – Income from Countries which have Avoidance of Double Taxation 43

Agreement with Malaysia and Claim for Section 132 Tax Relief

HK-9 – Income from Countries Without Avoidance of Double Taxation 4 3Agreement with Malaysia and Claim for Section 133 Tax Relief

HK-10 – Instalments/Schedular Tax Deductions Paid 43HK-11 – Basis Year Payments to Non-Residents (Withholding Tax) 44

HK-12 – Not Applicable to Form B (Not Enclosed) -HK-13 – Deduction for Maintenance of Unmarried Children 4 4HK-14 – Life Insurance Premiums/Contributions to Approved Provident or 4 4

Pension Fund, Education and Medical Insurance

CONTENTS OF WORKING SHEETS(Paper Marked Blue)

Series Working SheetPage

HK-1 – Computation of Statutory Income from Business 1

HK-1B – Computation of Statutory Income from Partnership Business 4

HK-1C – Computation of Statutory Business Income for the Individual 6Entitled to Claim Schedule 7A Allowance

HK-1D – Computation of Statutory Business Income for the Individual 10Entitled to Claim Increased Exports Allowance for QualifyingServices

HK-1E – Computation of Statutory Income from Pioneer Business 1 4HK-1.1 – Mining Allowances 18

HK-1.1A – Summary of Mining Allowances 20

HK-1.2 – Summary of Capital Allowances 21

HK-1.2.1 – Agriculture Allowances 22

ITEMS Page


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Series Working Sheet

Page

HK-1.2.1A – Summary of Agriculture Allowances 24

HK-1.2.2 – Forest Allowances 25

HK-1.2.2A – Summary of Forest Allowances 27

HK-1.2.3 – Industrial Building Allowances 28

HK-1.2.3A – Summary of Industrial Building Allowances 30

HK-1.2.4 – Plant and Machinery Allowances 31

HK-1.2.4A – Summary of Plant and Machinery Allowances 33

HK-1.2A – Summary of Capital Expenditure 34

HK-1.3 – Adjustment of Losses for Business and Partnership 35

HK-1.4 – Adjustment of Losses for Pioneer Business 36

HK-2 – Computation of Statutory Income from Employment 37

HK-2.1 – Receipts under Paragraph 13(1)(a) 39

HK-2.2 – Computation of Taxable Gratuity 40

HK-2.3 – Computation of Tax Allowance 41

HK-2.4 – Benefits-In-Kind (BIK) [Paragraph 13(1)(b)] 42

HK-2.5 – Benefit/Value of Accomodation Provided [Paragraph 13(1)(c)] 43

HK-2.6 – Refund from Unapproved Pension or Provident Fund, 45Scheme or Society

HK-2.7 – Computation of Taxable Compensation 46

HK-3 – Tax Deduction under Section 110 (Dividends) 47

HK-4 – Particulars of Properties/Assets and Total Rental 49

HK-5 – Computation of Statutory Income from Interest/Royalties 51

HK-6 – Tax Deduction under Section 110 (Others) 52

HK-7 – Not Applicable to Form B (Not Enclosed) -

HK-8 – Income from Countries which have Avoidance of Double Taxation 5 3Agreement with Malaysia and Claim for Section 132 Tax Relief

HK-9 – Income from Countries Without Avoidance of Double Taxation 5 4Agreement with Malaysia and Claim for Section 133 Tax Relief

HK-10 – Instalments/Schedular Tax Deductions Paid 55

HK-11 – Basis Year Payments to Non-Residents (Withholding Tax) 56HK-12 – Not Applicable to Form B (Not Enclosed) -HK-13 – Deduction for Maintenance of Unmarried Children 57

HK-14 – Life Insurance Premiums/Contributions to Approved Provident or 59Pension Fund, Education and Medical Insurance


CONTENTS OF APPENDICES(Paper Marked Brown)

Series Appendix

Page

Appendix A1 - 1. Gross Business Income 1

2. Allowable Expenses 1

Appendix A1.1 - Reminder on the need to keep record of adjustments and 2tax computation for the business

Appendix B1 - Gratuity 4

Appendix B2 - Tax Allowance 7

Appendix B3 - Benefits-In-Kind (BIK) [Paragraph 13(1)(b)] 9

Appendix B4 - Benefit/Value Of Accomodation Provided [Paragraph 13(1)(c)] 13

Appendix B5 - Compensation for Loss of Employment 17

Appendix C - Foreign Currency Exchange Rates (Yearly Average) 18

Appendix D - Claim Codes 19

Appendix E - Country Codes 20

Appendix F - Avoidance of Double Taxation Agreements (DTA) 25

Appendix G - Business Codes 27

Appendix H - Director General’s Public Rulings 48

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1

Foreword

Lembaga Hasil Dalam Negeri Malaysia (LHDNM) expresses its appreciation towards individuals who have consistentlyperformed their duty as responsible taxpayers in the settlement of their respective annual income tax. Their taxcontributions have assisted in the development and improvement of the national socio-economic status.

To expedite and facilitate the performance by taxpayers of their respective tax responsibility, the government hasentrusted its faith in them to assess and settle their income tax with the introduction of the Self Assessment Systemcommencing from the year of assessment 2004 for individuals and non-corporate taxpayers.

Simplified forms with explanations and guides on how to fill out those forms and compute the chargeable incomeand income tax have been prepared to assist taxpayers.

What is Form B Guidebook?

The following are contents of the Form B Guidebook :

1. A complete guide on how to fill out the Form B.

2. A series of Working Sheets (series HK-1 ... ) for computing the statutory income and loss from business:

HK-1 - Computation of Statutory Income from Business

HK-1B - Computation of Statutory Income from Partnership Business

HK-1C - Computation of Statutory Business Income for the Individual Entitled to Claim Schedule7A Allowance

HK-1D - Computation of Statutory Business Income for the Individual Entitled to Claim IncreasedExports Allowance for Qualifying Services

HK-1E - Computation of Statutory Income from Pioneer Business

HK-1.1 - Mining Allowances

HK-1.1A - Summary of Mining Allowances

HK-1.2 - Summary of Capital Allowances

HK-1.2.1 - Agriculture Allowances

HK-1.2.1A - Summary of Agriculture Allowances

HK-1.2.2 - Forest Allowances

HK-1.2.2A - Summary of Forest Allowances

HK-1.2.3 - Industrial Building Allowances

HK-1.2.3A - Summary of Industrial Building Allowances

HK-1.2.4 - Plant and Machinery Allowances

HK-1.2.4A - Summary of Plant and Machinery Allowances

HK-1.2A - Summary of Capital Expenditure

HK-1.3 - Adjustment of Losses for Business and Partnership

HK-1.4 - Adjustment of Losses for Pioneer Business


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3. A series of Working Sheets (series HK-2 ... ) for computing the statutory income from employment :

HK-2 - Computation of Statutory Income from Employment

HK-2.1 - Receipts under Paragraph 13(1)(a)

HK-2.2 - Computation of Taxable Gratuity

HK-2.3 - Computation of Tax Allowance

HK-2.4 - Benefits-In-Kind (BIK) [Paragraph 13(1)(b)]

HK-2.5 - Benefit/Value of Accomodation Provided [Paragraph 13(1)(c)]

HK-2.6 - Refund from Unapproved Pension or Provident Fund, Scheme or Society

HK-2.7 - Computation of Taxable Compensation

4. Ten (10) other Working Sheets are as follows :

HK-3 - Tax Deduction under Section 110 (Dividends)

HK-4 - Particulars of Properties/Assets and Total Rental

HK-5 - Computation of Statutory Income from Interest/Royalties

HK-6 - Tax Deduction under Section 110 (Others)

HK-7 - Not Applicable to Form B (Not Enclosed)

HK-8 - Income from Countries which have Avoidance of Double TaxationAgreement with Malaysia and Claim for Section 132 Tax Relief

HK-9 - Income from Countries Without Avoidance of Double TaxationAgreement with Malaysia and Claim for Section 133 Tax Relief

HK-10 - Instalments/Schedular Tax Deductions Paid

HK-11 - Basis Year Payments to Non-Residents (Withholding Tax)

HK-12 - Not Applicable to Form B (Not Enclosed)

HK-13 - Deduction for Maintenance of Unmarried Children

HK-14 - Life Insurance Premiums/Contributions to Approved Provident or PensionFund, Education and Medical Insurance

5. A series of Appendices (series A ....) to explain and give guidance in computing the business income :

Appendix A1 - 1. Gross business income2. Allowable expenses

Appendix A1.1 - Reminder on the need to keep record of adjustments and tax computation for the business

6. A series of Appendices (series B .....) to serve as a guide in the computation of employment income :

Appendix B1 - Explanation on Gratuity

Appendix B2 - Explanation on Tax Allowance/Tax Borne by the Employer

Appendix B3 - Explanation on Benefits-In-Kind or Amenities Arising out of Employment

Appendix B4 - Explanation on Living Accomodation Provided by the Employer

Appendix B5 - Explanation on Income from Compensation


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Reminder Before Filling Out The Form

Please take note of the following :

(1) An individual who carries on a business is required to f i l l out the Form B.

(2) Married individuals who elect for separate assessment are required to fi l l out separate tax forms(B/BE) ie. one for the husband and one for the wife.

(3) In the case of a married individual who elects for joint assessment and has total income to be aggregatedand assessed in the name of the spouse, both are sti l l reguired to fi l l out separate tax forms (B/BE).The husband or wife whose income is to be assessed in the name of the spouse, does not haveto fill in items C35 and C36, Part D, Part E and Part F. The amount of instalment payments or taxdeduction made in the name of the individual and the spouse have to be totalled and entered initem F2 Form B/BE of the spouse on whom the tax is to be raised.

Example :

The wife has a total income of RM60,000 and elects to be assessed in the name of her husband. Her schedulartax deductions (STD) amounted to RM3,000 for the year 2007. Part C of her Form B has to be filled in untili tem C34 only. STD amounted to RM3,000 has to be transferred to item F2 Form B/BE of the husband.

7. The following are other appendices to enable the entry of required information in the Form B:

Appendix C - Foreign Currency Exchange Rates (Yearly Average)

Appendix D - Claim Codes

1. Special Deductions

2. Further Deductions3. Double Deductions

Appendix E - List of countries and their respective code for the individual to fill in the code of thecountry where he is resident / a citizen

Appendix F - List of countries with which Avoidance of Double Taxation Agreements have beensigned

Appendix G - List of codes for various types of businesses as a guide to filling in the code forthe type of business carried on by the individual

Appendix H - List of Director General’s Public Rulings for guidance in computing the income asprovided under the Income Tax Act (ITA) 1967

TOTAL INCOME (SELF) ( C32 + C33 )(Enter "0" if value is negative)

C34C34 ,,, 06 0 00


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The husband’s Form B/BE is as follows:

i) Total income of husband - RM76,463

ii) Total income transferred from wife - RM60,000 (with business income)

iii) Tax payable in the name of the husband - RM20,000.00

iv) Instalments paid by the husband - RM10,000.00

v) Instalments paid by the wife - RM3,000.00

The wife does not have to fill in Parts D, E and F of her Form B.

Please take note that the tax computation should be done separately for the husband and wife when using relevantworking sheets. Record of separate tax computations for the husband and wife must be properly kept for reference/audit by Lembaga Hasil Dalam Negeri Malaysia.

(4) General Rules for Filling out the Form B

i. Part A : Particulars of Individual

Fill in relevant information only.

ii. Part B : Particulars of Husband/Wife


Part F

(Form BE)

(Form B)

TOTAL INCOME - SELF

(Form BE)

(Form B)

(Form BE)

(Form B)

or

or

orC34

C35

C36

C16

C17

C18

Part C

Balance of tax payable ( F1 - F2 )

LESS :

OR : Tax paid in excess ( F2 - F1 )

F1

F2

F3

F4

Tax payable (from E14)

Instalments/Schedular Tax Deductions Paid - SELFand HUSBAND / WIFE if joint assessment

F1

F3

F4

61 3 4 6 3

02

7 6 4 6 3,,,

,,, 06 0 00

,,,

,,, .

,,, .

0 0 0 0 0

0000031

,,, .

,,, . 000007

F2

* Type of income transferred from Husband / Wife

1 = With business income

2 = Without business income

TOTAL INCOME TRANSFERRED FROM HUSBAND /WIFE * FOR JOINT ASSESSMENT

1

}RM13,000.00

AGGREGATE OF TOTAL INCOME


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iii. Part C : Statutory Income and Total Income

This part has to be completed.In the case of joint assessment, the individual who elects to be assessed in the name of the spouseis required to fil l in until item C34 only. Items C35 to C36 need not be filled.

iv. Part D : Deductions

This part has to be completed. The individual who elects for joint assessment to be raised in thename of the spouse does not have to fill in this section.

v. Part E : Tax Payable


vi. Part F : Status of Tax for Year of Assessment 2007


vii. Part G : Income of Preceding Years Not Declared


viii. Part H : Particulars of Executor of the Deceased Person’s Estate


ix. Part J : Particulars of Business Income


x. Part K : Special Deduction, Further Deduction and Double Deduction


xi. Part L : Incentive Claim / Exempt Income


xii. Part M : Financial Particulars of Individual

Fill in relevant information only. Boxes not filled in are deemed inapplicable to you.

xiii. Declaration

This part has to be completed. If the form is not affirmed and duly signed, it will be returned to youand deemed not received by Lembaga Hasil Dalam Negeri Malaysia

xiv. Particulars of Tax Agent who Completes this Return Form



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Part I - Form B

BASIC INFORMATION

Item Subject Explanation Working AppendixSheet

1 Name Name as per identity card. - -

2 Tax Reference Income tax reference number. - -No.

Enter SG or OG followed by the reference number in theboxes provided.

Example I: For reference no. SG 10234567080

Example II : For reference no. SG 10234567081

Example III : For reference no. OG 12345678090

3 New Identity Card New identity card number. - -No.

4 Old Identity Card Old identity card number. - -No.

5 Police No. Police number (if any). - -

6 Army No. Army number (if any). - -

7 Passport No. Passport number as per passport book. - -

PART A : PARTICULARS OF INDIVIDUAL


A 1 Citizen Enter “MY” if you are a citizen of Malaysian. If you are not - -a citizen of Malaysia, refer to the Appendix E to determinethe country code.

A2 Sex Enter “1” for male or “2” for female. - -

A3 Status as at Enter “1” for unmarried, “2” for married, “3” for a divorcee/ - -31-12-2007 widow/widower or “4” for deceased.

G S 1 00 02 3 4 5 6 7 8

G S 1 10 02 3 4 5 6 7 8

O G 0 0 903 4 5 6 7 8 0

Enter SG or OG

Enter SG or OG

Enter SG or OG


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A4 Date of Marriage/ Enter the date of marriage; or date of divorse/separation - -Divorce/Dimise (in accordance with any law); or date of demise according

to the sequence : day, month and year.

A5 Type of Assessment Enter: - -(i) ‘1’ if the wife elects for joint assessment to be raised

in the name of the husband. She does not have to fill initems C35 and C36, Part D, Part E and Part F of herForm B; or

(ii) ‘2’ if the husband elects for joint assessment to be raisedin the name of his wife. He does not have to fill in items C35and C36, Part D, Part E and Part F of his Form B; or

(iii) ‘3’ if the individual and spouse elect for separate assessment; or(iv) ‘4’ if the individual is single/a divorcee/widow/widower/deceased

person; or married with a spouse who has no source of incomeor has income which is tax exempt

Note: Conditions on eligibility to elect for joint assessment:(i) the husband and the wife were living together in the basis year

for the year of assessment and did not in that basis year ceaseto live together;

(ii) the husband or the wife must have total income to be aggregatedwith the total income of the spouse;

(iii) must be a Malaysian citizen if not resident in Malaysia;(iv) the aggregation can be made with one wife only.

A6 Compliance with Public Ruling is a guide for the public which sets out the - Appendix HPublic Rulings interpretation of the Director General of Inland Revenue

in respect of a particular tax law, policy and procedurethat are to be applied. Refer to Appendix H of the Form BGuidebook for the list of Public Rulings. Details of eachPublic Ruling are available from the LHDNM website.Enter ‘1’ for full compliance with Public Rulings or ‘2’ if oneor more rulings are not complied with.

A7 Record-keeping This refers to the keeping of sufficient records as requiredunder the provision of ITA 1967. Enter ‘1’ for full complianceor ‘2’ for non-compliance.

A8 Correspondence Address to be used for any correspondence with LHDNM. - -Address

A9 Address of Address where the main business is carried on. - -BusinessPremise

A10 Telephone No. Telephone number of office/tax agent’s firm/residence/ - -handphone.

A11 Employer’s No. Enter the employer’s E file reference number. - -Example : E 1023456708

A12 e-mail e-mail address (if any). - -

A13 Name of Bank For the purpose of tax refund (if any) by LHDNM, state the - -name of the bank through which the payment is to be made.

A14 Bank Account No. Your account number at the bank concerned. - -



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PART B : PARTICULARS OF HUSBAND/WIFE


B1 Name of Name of the husband/wife as per identity card. - -Husband/Wife

B2 Tax Reference No. Fill in the income tax reference number of your husband/wife - -by entering SG or OG followed by the reference number in theboxes provided.

B3 New Identity New identity card number of the husband/wife. - -Card No.

B4 Old Identity Old identity card number of the husband/wife. - -Card No.

B5 Police No. Police number of the husband/wife (if any). - -

B6 Army No. Army number of the husband/wife (if any). - -

B7 Passport No. Passport number of the husband/wife as per passport book. - -

Note : Where there is more than one (1) wife, please furnish the information as per format B1 to B7 by using attachment(s)and submit together with the Form B.

PART C : STATUTORY INCOME AND TOTAL INCOME


C1 Statutory Income If there is only one business, use the boxes provided forFrom Business : Business 1. - -Business 1 With effect from the year 2004, this business shall be

known as “Business 1”until the business ceases. Otherbusinesses shall be known as “Business 2” and so forth.

Business Code Refer to Appendix G for the business code of business 1. - Appendix G

Amount Transfer amount from item J5 Working Sheet HK-1/ item N HK-1,HK-1C, Appendix A1from Working Sheet HK-1C / itemL from Working Sheet HK-1D,HK-1.1HK-1D to this box. to

HK-1.2A

C2 Business 2 See the explanation for item C1. As per As per C1 C1

C3 Business 3 + 4 See the explanation for item C1. As per As perand so forth If there are more than three (3) businesses, enter the sum of C1 C1

statutory income from Business 3 and so forth in this box.List out Business 3 and so forth as per format C1 and C2 foreach business by using attachment(s) and submit togetherwith the Form B.


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C4 Statutory Income Partnership 1 as designated. - -From Partnership -Partnership 1

Tax Reference No. State the income tax reference number of the partnership - -concerned.Example : D 1234567709

Amount Amount from item E/G/J Working Sheet HK-1B. HK-1B -

C5 Partnership 2 See the explanation for item C4. HK-1B -

C6 Partnership 3 + 4 See the explanation for item C4. HK-1B -and so forth If there are more than three (3) partnership businesses, enter

the sum of statutory business income from Partnership 3and so forth in this box. List out Partnership 3 and so forth asper format C4 and C5 for each partnership business by usingattachment(s) and submit together with the Form B.

C7 Aggregate statutory Sum of amounts from items C1 to C6. - -income frombusinesses

C8 Business losses Business losses not absorbed by income of the previous HK-1.3 -brought forward year of assessment.

Amount from item B Working Sheet HK-1.3.If amount in C8 exceeds amount in C7, enter the amount as peritem C7 in this box.Enter “0” in this box if there is no business loss brought forward.

C9 Total C7 minus C8 - -

C10 Employment Amount from item N4 Working Sheet HK-2. HK-2 Appendix B1-B5

C11 Dividends Amount from item C(iii) Working Sheet HK-3. HK-3 -

C12 Interest and Interest - Interest is taxable EXCEPT: HK-5 -Discounts (i) Interest/bonus from any savings account with Bank

Simpanan Nasional or Lembaga Tabung Haji.(ii) Interest/gains from deposits up to RM100,000 in any savings

account with a bank/finance company licensed under theBanking and Financial Institutions Act 1989, Islamic BankingAct 1983, Bank Pertanian, Malaysia Building Society Bhd.,Borneo Housing Mortgage Finance Bhd., registered co-operativesociety and other institutions approved by the Minister.

(iii) Interest/gains from deposits up to RM100,000 in any fixeddeposit account/investment account for a period of lessthan 12 months placed with the institution/bank as inparagraph (ii).

(iv) Interest/gains from fixed deposits account/investment accountfor a period of 12 months or more placed with the institution/bank as in paragraph (ii).

Resident individuals need not declare interest which has beensubjected to a withholding tax of 5%.Amount from iten E Working Sheet HK-5.

Discounts - These relate to earnings from discounting transactions - -such as dealings in treasury bills.


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C13 Rents, royalties Rents - These are rental received in respect of houses, HK-4 -and premiums shophouses, land, plant, machines, furniture and other

similar assets.Amount from item D Working Sheet HK-4.

Royalties - Royalties received in respect of the use of HK-5 -copyrights/patents are taxable if they exceed the followingexemption limits:

Type of Royalty Exemption (RM)(i) Publication of artistic works/recording

discs/tapes 10,000(Paragraph 32 of Schedule 6)

(ii) Translation of books/literary works 12,000(Paragraph 32A of Schedule 6)

(iii) Publication of literary works/originalpaintings/musical compositions 20,000(Paragraph 32B of Schedule 6)

Example:Amount received in respect of the publication of RM 14,000artistic worksLess : exemption RM 10,000

RM 4,000

Enter RM4,000 in item F Working Sheet HK-5

Amount from item H Working Sheet HK-5.

C14 Pensions, annuities Pensions – Pensions derived from Malaysia and paid to a - -and other periodical person on reaching the age of 55 years/compulsory age ofpayments retirement or if the retirement is due to ill-health, are tax exempt

if paid out from an approved fund, scheme or society.Where a person is paid more than one pension, only the higheror highest pension is exempt from tax. Other pensions haveto be reported.

Amount of pension to be taxed is as per the annual pensionstatement.

Example :Public service pension (approved fund) RM35,000Political pension RM55,000

Total RM90,000

Amount of taxable pension RM35,000

Annuities – These are sums of money received in accordancewith a will or investment of money or contract entitling theannuitant to a series of payments, whether or not receivedregularly or for a limited period only.

Periodical payments – These refer to recurring paymentsreceived at fixed times.

C 1 5 Other gains or Other income such as payments received for part-time/ HK-6 -profits occasional broadcasting, lecturing, writing and so forth.

Working Sheet HK-6 and original vouchers must be submittedwith the return form if an individual is entitled to a tax refund.


11

C16 Additions pursuant The following earnings/proceeds are deemed income and - -to paragraph must be taken into account as aggregate income:43(1)(c) Earnings/proceeds in relation to expenditure on

prospecting operations under Schedule 4 ITA 1967.The earnings/proceeds can be taken into account inthe tax computation if claims for such expenditurehad previously been made.Refer to paragraph 43(1)(c), paragraph 16 of Schedule 4for computing the amount of income to be included asaggregate income.Computations must be properly kept for examination.Enter the amount computed in this box.

C17 Aggregate statutory Sum of amounts from items C10 to C16. - -income from othersources

C18 Aggregate Income Sum of amounts from items C9 and C17. - -

C19 Current year Current year losses from business can be deducted from HK-1, HK-1C, -business losses the same year’s aggregate income. HK-1D & HK-1.3

Example :Business losses of the year 2007 can be deductedfrom the aggregate income of the year 2007.Adjustment of losses for business (if any) should be doneon Working Sheet HK-1.3.Adjusted business loss is to be computed based on theformat in Working Sheet HK-1/HK-1C/HK-1D. Total up allthe adjusted losses if there are losses from more than one(1) business and enter the amount in item D Working SheetHK-1.3.

Amount from item E Working Sheet HK-1.3Amount in C19 is restricted to the amount in C18. If amountin C19 exceeds the amount in C18, enter the amount as peritem C18 in this box.

C20 Total C18 minus C19 - -

C21 Qualifying Refer to paragraph 44(1)(b) and Schedule 4 ITA 1967 to - -prospecting determine the eligibility.expenditure Refer to paragraph 5 of Schedule 4 on the method of

computation.Retain the computation for examination.Enter the amount of claim (unclaimed balance from previousyears and current year claim) in this box. However, this amountis restricted to the amount in C20.The balance not absorbed by item C20 (if any) is to be enteredin item L3.

C22 Qualifying farm Refer to the saving and transitional provision for Schedule 4A - -expenditure relating to the balance of capital expenditure not fully claimed.

The amount is restricted to the amount in C20. The balance notabsorbed by item C20 (if any) is to be entered in item L4.



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C23 Total C20 minus ( C21 plus C22 ). Enter “0” if value is negative. - -

C24 Gift of money to Monetary gifts made to the Government, State Government, - -the Government, a local authority or an institution/organisation approved by theState Government, Director General of Inland Revenue.local authorities Subsection 44(6)or approvedinstitutions andorganisations

C25 Gift of artefacts, Gift of artefacts, manuscripts or paintings to the Government - -manuscripts or will be based on the value determined by the Director Generalpaintings of National Museum or the Director General of National Archives.

Subsection 44(6A)

C26 Gift of money for the Gift of money not exceeding RM20,000 for the provision of - -provision of library library facilities to public libraries or libraries of schools/facilities or to institutions of higher learning.libraries Subsection 44(8)

C27 Gift of money or An amount equal to the value of any gift of money or contribution - -contribution in in kind for the provision of public facilities for the benefit of disabledkind for the persons, will be determined by the relevant local authority.provision of Subsection 44(9)facilities in publicplaces for the benefitof disabled persons

C28 Gift of money or Gift of money or medical equipment not exceeding RM20,000 - -medical equipment in value given by an individual to any healthcare facilityto any healthcare approved by the Ministry of Health.facility approved Subseksyen 44(10)by the Ministryof Health

C29 Gift of paintings An amount equal to the value of any gift of paintings to the - -to the National National Art Gallery or any state art gallery, will be determinedArt Gallery or by the National Art Gallery or any state art gallery.any state art Subsection 44(11)gallery

C30 Gift of money or Gift of money or cost of contribution in kind for any - -cost of contribution sports activity approved by the Minister or any sportsin kind for any body approved by the Commissioner of Sports appointedapproved sports under the Sports Development Act 1997. Amount to beactivity deducted shall not exceed the difference between 7% of

the aggregate income in C18 and the amount deductedpursuant to the proviso to subsection 44(11C ).Subsection 44(11B)

C31 Gift of money or Gift of money or cost of contribution in kind for any - -cost of contribution project of nasional interest approved by the Minister. Amountin kind for any project to be deducted shall not exceed the difference betweenof nasional interest 7% of the aggregate income in C18 and the amountapproved by the deducted pursuant to the proviso to subsection 44(11B).Minister of Finance Subsection 44(11C)


13

D1 Individual and Relief of RM8,000 for an individual in respect of himself - -dependent and his dependent relatives is granted automatically.relatives Paragraph 46(1)(a)

D2 Medical Medical expenses incurred on parents are limited to RM5,000. - -expenses Medical expenses which qualify for deductions would include:for parents (i) medical care and treatment provided by a nursing home; and

(II) dental treatment limited to tooth extraction, filling, scaling andcleaning but not including cosmetic dental treatment expensessuch as teeth restoration and replacement involving crowning,root canal and dentures.

Paragraph 46(1)(c)

D3 Basic supporting The purchase of any supporting equipment for use by a - -equipment disabled individual, husband, wife, child or parent, may be

claimed up to a maximum of RM5,000. Basic supportingequipment includes haemodialysis machine, wheel chair,artificial leg and hearing aids but exclude optical lensesand spectacles. Paragraph 46(1)(d)


PART D: DEDUCTIONS


C32 Total C23 minus ( C24 to C31 ). Enter “0” if the result of the - -computation is negative.

C33 Taxable pioneer Pioneer status is a tax incentive as defined in section 5 HK-1E -income to section 25 of the Promotion of Investments Act (PIA)

1986. When granted to an individual, his business incomefrom participating in a promoted activity or producing apromoted product in relation to agriculture (agro-based)shall be fully/partially tax exempt.

Refer to Working Sheet HK-1E for the amount to beentered in this item.

C34 Total Income C32 plus C33 - -(Self)

C35 Total Income This item has to be filled in by the individual in whose - -Transferred from name the joint assessment is to be raised.Husband/Wife* ForJoint Assessment This item and item C36 need not be filled if:

1. The individual is single/a divorcee/a widow/a widower2. the spouse of the individual does not have any sourse

of income or has income which is tax exempt3. elect of separate assessment4. elects for joint assessement to be raised in the name

of his/her spouse

* Type of income Enter ‘1’ if income transferred from husband / wifetransferred from includes business source or ‘2’ if not.Husband / Wife

C36 Aggregate of C34 plus C35Total Income


14


D4 Disabled An individual will be allowed an additional personal - -person relief of RM6,000 if he is a disabled person.

Paragraph 46(1)(e)

D5 Education fees An amount limited to a maximum of RM5,000 is deductible - -(self) in respect of fees expended on any course of study up

to tertiary level in any institution in Malaysia recognisedby the Malaysian Government, for the purpose of acquiringlaw, accounting, Islamic financing, technical, vocational,industrial, scientific or technological skills or qualifications.Paragraph 46(1)(f)

D6 Medical Medical expenses on serious diseases includes the treatment - -expenses on of acquired immune deficiency syndrome (AIDS), Parkinson’sserious disease, cancer, renal failure, leukaemia, and other similardiseases diseases such as heart attack, pulmonary hypertension, chronic

liver disease, fulminant viral hepatitis, head trauma withneurological deficit, brain tumour or vascular malformation,major burns, major organ transplant and major amputationof limbs. Amount expended on ownself, husband/wife or childis limited to a maximum of RM5,000.Paragraph 46(1)(g)

D7 Complete Complete medical examination refers to thorough examination. - -medical Amount expended on ownself, the spouse or child isexamination deductible up to a maximum of RM500 but the total of both

deductions (D6 and D7) is limited to a maximum of RM5,000.Paragraph 46(1)(h)

D8 Purchase of An amount limited to a maximum of RM1,000 is deductible in - -books/magazines respect of the purchase of books, magazines, journals or other

similar publications (in form of hardcopy or electronic but excludenewspapers or banned reading materials) for enhancing theknowledge of the individual, husband/wife or child.Paragraph 46(1)(i)

D8A Purchase of An amount limited to a maximum of RM3,000 is deductible - -personal computer in respect of the purchase of personal computer. No deductionfor individual will be granted if the computer is used for business purpose.

This deduction is allowed once in 3 years. Paragraph 46(1)(j)

D8B Net deposit in Amount deposited in SSPN by an individual for his children’s - -Skim Simpanan education is deductible up to a maximum of RM3,000. ThePendidikan allowable deduction is limited to the net amount deposited inNasional that basis year only.(SSPN) Example: For year 2007,

Balance brought forward: RM4,500Total deposit: RM2,000Total withdrawal: RM1,500

Allowable deduction is RM500 (RM2,000 – RM1,500).The balance brought forward of RM4,500 is not taken intoaccount.


15

D9 Husband / Wife / Relief of RM3,000 is given in respect of a husband living - -Payment of together in the basis year provided that he has no totalalimony to income or has elected for joint assessment.former wife Section 45A

Relief of RM3,000 is given in respect of a wife livingtogether in the basis year provided that she has no income/total income or has elected for joint assessment.Paragraph 47(1)(a)Payment to a former wife is also deductible provided that - -the deduction for wife and alimony payments shall notexceed RM3,000. Voluntary alimony payments undera mutual agreement but without any formal agreementdo not qualify.Subsection 47(2) and 47(3)

D10 Disabled Additional deduction of RM3,500 is given in respect of - -husband/ a disabled husband/wife living together with the individual.wife Paragraph 47(1)(b) & section 45A

D11 Child 100% Eligibility HK-13 -This part has to be filled in by the individual who isentitled to claim the whole of the allowable deduction.

50% EligibilityWhere two or more individuals (not husband and wifeliving together) are each entitled to claim a deductionfor payment made in respect of the same child, eachof those individuals is entitled to claim 50% of thatwhole deduction.Subsection 48(4)

Refer Working Sheet HK-13 for computation.

For Separate Assessment, the deduction in respectof each child may be claimed by either the individualor his spouse. Example: Ali and his wife may claim thededuction in respect of their children as follows:

Ali Wife Ali Wife(i) 5 0 (iv) 2 3(ii) 4 1 (v) 1 4

(iii) 3 2 (vi) 0 5

D11a Child - Under Child relief of RM1,000 is allowed if the individual pays - -the age of 18 for the maintenance of each unmarried child under theyears age 18 years at any time in that year.

Paragraph 48(1)(a) & 48(2)(a)Example:

Mr. A claimed deduction for children in respect of the following:

The eldest child studying at Sekolah Rendah Taman Desa isseven (7) years old while the second child who is five (5) yearsold is studying at Tadika GCC.

Computation of child relief:



16

D11b Child - Relief for each unmarried child of 18 years and above who - -18 years & is receiving full-time education is RM1,000.above Paragraph 48(1)(b) & 48(2)(a)and studying

Relief of RM4,000 for each unmarried child of 18 years andabove on condition that:(i) receiving further education in Malaysia in respect of an

award of diploma or higher (excluding matriculation/preparatory courses).

(ii) receiving further education outside Malaysia in respectof an award of degree or its equivalent (including Masteror Doctorate).

(iii) the instruction and educational establishment shall beapproved by the relevant government authority.

Subparagraph 48(3)(a)(i)

Example:

Mr. A claimed the following child relief for the year 2007:The eldest child who is 25 years old (unmarried), is taking adegree course at Boston University.

The second child who is 23 years old (unmarried), is pursuit ofa diploma course at UiTM.

The third child who is 22 years old (unmarried), is taking adiploma course at the University of New Haven.

The forth child who is 20 years old (unmarried), undertakes amatriculation course at UKM.

Mr. A and his former wife claimed a deduction of 50% eachon the expended amount in respect of the fifth child who is18 years old and studying at Sekolah Menengah WangsaMaju.

Computation of child relief:Eldest child: RM4,000Second child: RM4,000Third child: RM1,000Forth child: RM1,000Fifth child: RM500


No.

50%100%

x 1,000 = x 500 = ,

No.

,,2 0 0 02 0 0 02

Eligible Rate

x 500 = ,

x 2,000 =x 4,000 = ,

x 1,000 =

,

,

,

0 0 022

2 0 0 08

5 0 01

5 0 001


17

D11c Child - An individual is entitled to a relief of RM5,000 if the child - -Disabled is disabled.child Paragraph 48(1)(d) & 48(2)(b).

An additional relief of RM4,000 is given for each disabledchild of 18 years and above on condition that:(i) receiving further education in Malaysia in respect of an

award of diploma or higher (excluding matriculation/preparatory courses).

(ii) receiving further education outside Malaysia in respectof an award of degree or its equivalent (including Masteror Doctorate).

(iii) the instruction and educational establishment shall beapproved by the relevant government authority.

An individual is entitled to a total relief of RM9,000 if the abovecondition is complied with.

Subparagraph 48(3)(a)(ii)

Example:Mr. B claimed the child relief as following for the year 2007 :The eldest child who is 30 years old, is disabled (unmarried)and unemployed.

The second child who is 22 years old, is also disabled butpursuing a degree cource at USM.

Computation of child relief:

Eldest child: RM5,000Second child: RM9,000

D12 Insurance and Insurance premiums paid for policies taken on HK-14 -provident fund the life of an individual, husband or wife are

allowable deductions. Insurance premiumson the life of the child does not qualify.

Contributions to the Employees Provident Fund orother provident funds or pension schemes approvedby the Director General of Inland Revenue.

Total relief for the payment of life insurance premiumsand contributions to the Employees Provident Fund(EPF) or other approved schemes is limited to RM6,000each for the individual and his wife who are assessedseparately. If the husband or wife elects for jointassessment, the deduction for insurance premiums andEPFcontributions is limited to RM6,000.

Paragraphs 49(1)(a)/ 49(1)(b)/ 49(1)(c)/ subsection 49(1A)

Refer to Working Sheet HK-14 for computation.


x 2,500 =x 5,000 =

x 4,500 =x 9,000 = ,,

, ,

,

1

1

005 0

009 0 001 04


18

Example:

The taxpayer elects for joint assessment and the insurancepremiums paid are RM300 for the husband and RM6,500for the wife. The allowable deduction is limited to RM6,000and not RM6,800.

In situations where the husband has no total income and thewife is assessed separately as an individual, any expenditureon insurance premium incurred by the husband shall be deemedto have been paid by the wife and is allowable up to the limitedamount only.

However, if the husband has no total income but contributesto EPF, the wife is not allowed to claim a deduction fromher own income in respect of the husband’s EPF contribution.Likewise if the wife has no total income.Subsections 50(2) and 50(3)

D13 Education and A relief not exceeding RM3,000 is available on insurance HK-14 -medical insurance premiums paid in respect of education or medical benefits

for an individual, husband, wife, or child.Subsection 49(1B)Refer to Working Sheet HK-14 for computation.

D14 Total relief Sum of amounts from items D1 to D13 - -



PART E: TAX PAYABLE

E1 Chargeable C34 minus D14 or C36 minus D14 - -income

E2 INCOME TAX Refer to the tax schedule and example of computation - -COMPUTATION provided below.


19


TAX SCHEDULE

CATEGORY RANGE OF COMPUTATION RATE TA XCHARGEABLE RM % RM

INCOME (b) (c) (d)(a)

A 0 - 2,500 First 2,500 0 0

B 2,501 - 5,000 Next 2,500 1 2 5

C First 5,000 2 55,001 - 10,000 Next 5,000 3 150

D First 10,000 17510,001 - 20,000 Next 10,000 3 300

E First 20,000 47520,001 - 35,000 Next 15,000 7 1,050

F First 35,000 1,52535,001 - 50,000 Next 15,000 1 3 1,950

G First 50,000 3,47550,001 - 70,000 Next 20,000 1 9 3,800

H First 70,000 7,27570,001 - 100,000 Next 30,000 2 4 7,200

I First 100,000 14,475100,001 - 150,000 Next 50,000 2 7 13,500

J First 150,000 27,975150,001 - 250,000 Next 100,000 2 7 27,000

K First 250,000 54,975Exceeding 250,000 For every next ringgit 2 8 ...............

E2a Tax on the Income tax computation - -first Match the chargeable income from item E1 of the Form B

with the range of chargeable income as provided in thetax schedule.

E2b Tax on the Example I - -balance Chargeable income as per E1: RM 5,500

Use category C of the tax schedule to compute as follows:

Tax on the first RM5,000 RM 25.00Tax on the balance RM500 @ 3% RM 15.00Total income tax RM 40.00


20

Fill in items E2a and E2b of the Form B as shown below:

Tax on the first

Tax on the balance At Rate (%)

Example II :Chargeable income as per E1: RM 60,000Use category G of the tax schedule to compute as follows:

Tax on the first RM 50,000 RM 3,475.00Tax on the balance RM 10,000 @ 19% RM 1,900.00Total income tax RM 5,375.00

Enter in items E2a and E2b of the Form B as shown below:

Tax on the first

Tax on the balance At Rate (%)

E3 Total income E2a plus E2b - -tax

E4 Tax rebate A rebate of RM350 is granted to an individual whose - -for individual chargeable income does not exceed RM35,000.

Paragraph 6A(2)(a)

E5 Tax rebate A rebate of RM350 is granted to an individual whose - -for husband/ chargeable income does not exceed RM35,000 andwifel where he/she has been allowed a deduction of RM3,000

for the spouse.Paragraph 6A(2)(b) / 6A(2)(c)

E6 Zakat or A rebate is granted for payments of any zakat, fitrah - -fitrah or other obligatory Islamic religious dues in the

basis year. Subsection 6A(3)

E7 Fees (Levy) A rebate is given in respect of any fee paid to the Malaysian - -Government under the Fees Act 1951 for the issue of anEmployment Pass, Visit Pass (Temporary Employment) orWork Pass.Section 6C


,,, 005 0 ,,, .5 0 02

,,, 005 ,,, .0 0513

,,, 005 0 ,,, .5 0 070 43

,,, 00 ,,, .0 00090 91101


21

E8 Total rebate Sum of amounts from items E4 to E7 - -Amount in E8 is restricted to the amount in E3.

E9 Total tax E3 minus E8 - -charged

E10 Tax deduction Use Working Sheet HK-3 for computation. Please submit HK-3 -under section 110 original dividend vouchers and Working Sheet HK-3 if you(dividends) are entitled to a tax refund.

Amount from item D Working Sheet HK-3

E11 Tax deduction Compute the tax deducted under section 110 by using Working HK-6 -under section 110 Sheet HK-6 in respect of other income such as interest,(others) royalties, section 4A income and income from trust bodies.

Please submit original relevant documents and WorkingSheet HK-6 if you are entitled to a tax refund.Amount from item B Woring Sheet HK-6

E12 Section 132 tax Relief from double taxation on foreign income brought HK-8 Appendix Frelief into Malaysia. Refer to Appendix F (Guidebook B)

for the list of countries which have Avoidance ofDouble Taxation Agreements (DTA) with Malaysia.Refer to Schedule 7 of ITA 1967 and Working Sheet HK-8to compute the amount of credit.

E13 Section 133 tax Relief from double taxation on foreign income brought HK-9 -relief into Malaysia. These countries do not have Avoidance

of Double Taxation Agreements (DTA) with Malaysia.Refer to Schedule 7 of ITA 1967 and Working SheetHK-9 to compute the amount of credit.

E14 Tax Payable E9 minus (E10 to E13) - -

E15 Tax Repayable (E10 to E13) minus E9. HK-3/HK-6 -This item is applicable if the amount in E10 to E13 exceeds HK-8/HK-9 the amount in E9.Submit Working Sheet HK-3/HK-6/HK-8/HK-9 togetherwith the Form B.



22

PART F : STATUS OF TAX FOR YEAR OF ASSESSMENT 2007

The tax payable and tax paid (through the instalment or Schedular Tax Deduction scheme) are set-off in thissection.


F1 Tax payable Amount from item E14 - -Enter “0” in this box ifentitled to a tax refund as per item E15.

F2 Instalments/ Use Working Sheet HK-10 for computation. HK-10 -Schedular Tax This excludes payments made in respect of outstandingDeductions paid - tax for previous years of assessment.SELF and Husband / Transfer the amount from item E of Working SheetWife if joint HK-10 to this item.assessment

For Joint Assessment - enter the total amount of instalment/Schedular Tax Deductions paid by the husband/wife in thisitem.

F3 Balance of tax F1 minus F2 - -payable

The balance of tax payable must be paid within the stipulatedperiod. Use the Remittance Slip (CP501) provided with theForm B when making payment at the LHDNM payment counter.Payment can also be made at the counters of CIMB BankBerhad (CIMB) and Public Bank Berhad (PBB) by using thepayment slip provided by the bank.If the sum of amounts in F2 exceeds the amount in F1,enter “0” in this item.

F4 Tax paid in excess F2 minus F1 - -

PART G : PRECEDING YEARS’ INCOME NOT DECLARED


G1 - G5 Income received in respect of any earlier year not - -declared.Example: Payment of salary/bonus in arrears, dividendspaid in the year 2006 but vouchers are received in theyear 2007.

Fill in the type of income, year for which paid, grossamount received and Provident and Pension FundContribution (if any) in the boxes provided. - -Use attachment(s) as per format G1 to G5 in case ofinsufficient writing space.


23

PART H : PARTICULARS OF EXECUTOR OF THE DECEASED PERSON’S ESTATE


H1 Name of the Name of the appointed executor of the deceased - -Administrator person’s estate.

H2 New Identity New identity card number of the executor. - -Card No.

H3 Old Identity Old identity card number of the executor. - -Card No.

H4 Police No. Police number of the executor (if any). - -

H5 Army No. Army number of the executor (if any). - -

H6 Passport No. Passport number of the executor as per passport - -book.

PART J: PARTICULARS OF BUSINESS INCOME


J 1 a Balance from Current year’s business/partnership losses not HK-1.3 -current year absorbed;losses Amount from item F Working Sheet HK-1.3

J 1 b Balance from Balance from previous years’ business/partnership HK-1.3 -previous years’ losses not absorbed.losses Amount from item C Working Sheet HK-1.3

J 1 c Losses carried J1a plus J1b HK-1.3 -forward Or

Amount from item G Working Sheet HK-1.3

J1d Pioneer loss Pioneer business loss can only be absorbed by income HK-1.4 -from other pioneer business. Hence, its accounts must bekept separate from that of non-pioneer business.

Amount absorbed Enter the amount of pioneer loss that has been absorbed HK-1.4 -in this item.Amount from item D Working Sheet HK-1.4

Balance carried Enter the amount of unabsorbed balance of pioneer loss HK-1.4 -forward in this item.

Amount from item E Working Sheet HK-1.4

J2 Capital Claim for capital allowances in the computation of statutory - -allowances income from business.


24

J2a Business 1 This refers to Business 1 in item C1. - -Allowance absorbed Capital allowance absorbed in the current year for Business 1. HK-1/ -

Amount from item K5 Working Sheet HK-1 or HK-1C/Amount from item Q5 Working Sheet HK-1C or HK-1DAmount from item N5 Working Sheet HK-1D

Balance carried Amount from item K6 Working Sheet HK-1 or HK-1/ -forward Amount from item Q6 Working Sheet HK-1C or HK-1C/

Amount from item N6 Working Sheet HK-1D HK-1D

J2b Business 2 See the explanation for item J2a As per K2a -

J2c Business 3 + 4 See the explanation for item J2a As per K2a -and so forth

J2d Partnership 1 This refers to Partnership 1 in item C4. - -

Allowance absorbed Capital allowance absorbed in the current year for HK-1B -Partnership 1.

Amount from item D / K4 Working Sheet HK-1B

Balance carried Amount from item K5 Working Sheet HK-1B HK-1B -forward

J2e Partnership 2 See the explanation for item J2d As per K2d -

J2 f Partnership 3 + 4 See the explanation for item J2d As per K2d -and so forth

J 3 a 107A Withholding tax under section 107A HK-11 -

Total Gross Amount PaidGross income in respect of services under a contractpaid to a non-resident contractor pursuant to section 107A

Tax withheld and remitted to LHDNM10 % of gross amount [paragraph 107A(1)(a)]

Plus

3% of gross amount [paragraph 107A(1)(b)]

(Regulations and procedures for payment set out by theCollections Branch must be complied).

J3b 109 Withholding tax under section 109 - tax rate is according HK-11 Appendix Fto Part II Schedule 1 of ITA 1967 except rates which differaccording to the Avoidance of Double Taxation Agreements.(Refer to Appendix F)

Total Gross Amount PaidTotal gross amount paid before any deduction.



25

PART K : SPECIAL DEDUCTION, FURTHER DEDUCTION AND DOUBLE DEDUCTION

K1 to CLAIM CODE Use the claim code provided in Appendix D. - Appendix DK 4

K 5 TOTAL CLAIMED Sum of amounts from items K1 to K4. - -

J 3 c 109A Withholding tax under section 109A - 15% HK-11 -

Total Gross Amount PaidSee the explanation for item J3b.

J3d 109B Withholding tax under section 109B - tax rate is according HK-11 Appendix Fto Part V Schedule 1 of ITA 1967 except rates which differaccording to the Avoidance of Double TaxationAgreements. (Refer to Appendix F)

Total Gross Amount PaidSee the explanation for item J3b.




L1 Schedule 7A This incentive is given in respect of a project HK-1B, HK-1C -allowance undertaken by an individual in transforming his

business of rearing chicken and ducks from anopened house to a closed house system.

Refer to section 133A and paragraph 1C Schedule 7AITA 1967 to determine the eligibility; paragraph 1 andparagraph 3 Schedule 7A ITA 1967 on the method ofcomputation.

Retain original documents pertaining to the qualifyingcapital expenditure, application form and detailedcomputation of the allowance for examination.

Use Working Sheet HK-1B/HK-1C to compute the statutoryincome and adjust the claim for Schedule 7A allowance.

PART L : INCENTIVE CLAIM / EXEMPT INCOME


26

Amount claimed Transfer the amount of Reinvestment Allowance claimedi.e. amount from item L4 Working Sheet HK-1B / P4 WorkingSheet HK-1C to this item.

Balance carried Transfer the balance of unabsorbed Reinvestmentforward Allowance (balance carried forward) i.e. amount from

item L5 Working Sheet HK-1B / P5 Working Sheet HK-1Cto this item.Enter “0” if there is no balance.

L2 Increased exports Refer to paragraphs 2, 3 and 6 Income Tax (Exemption) HK-1B, HK-1D -allowance for (No.9) Order 2002 and Income Tax (Exemption)qualifying services (Amendment) Order 2006 [P.U.(A) 275] to determine

the eligibility. Use Working Sheet HK-1D to compute.

Amount claimed Transfer amount from item M4 Working Sheet HK-1B / M7Working Sheet HK-1D to this item.

Balance carried Transfer the balance of unabsorbed allowance (balanceforward carried forward) i.e. amount from item M5 Working Sheet

HK-1B / M8 Working Sheet HK-1D into this item. If thereis no balance, enter “0”.

L3 Schedule 4 Refer to the explanation for item C21. - -qualifying Any balance of claim not absorbed in item C21 isexpenditure carried forward by entering the amount in this item.

Enter “0” if there is no balance to be carried forward.

L4 Schedule 4A See the explanation for item C22. - -qualifying Any balance of claim not absorbed in item C22, is carriedexpenditure forward by entering the amount in this item.

Enter “0” if there is no balance.

L5 Pioneer Income Enter the amount/portion of income which is tax exempt HK-1E -(Amount Exempted) from item M4 Working Sheet HK-1E in this item.

L6 Approved Food Refer to Income Tax (Exemption) (No. 10) Order 2006 - -Production [P.U.(A) 51]. Enter the statutory income which is taxProject exempt in this item.


PART M : FINANCIAL PARTICULARS OF INDIVIDUAL


M 1 Business code Enter the business code (refer to Appendix G) for the main - Appendix Gbusiness only. If there is more than one (1) main business,enter the code for the business with the highest turnover.

M 2 Sales or Gross amount including accrued income from sales, fees - -Turnover and other receipts.

M 3 Opening stock Opening stock of finished goods as per Trading Account. - -


27

M4 Purchases and Gross amount of purchases minus discounts/rebates - -cost of production received pertaining to the main business.

Cost of production as per Manufacturing Account.

M5 Closing stock Closing stock of finished goods as per Trading Account. - -

M6 Cost of sales M3 plus M4 minus M5. Enter “0” if none. - -

M7 Gross profit/loss M2 minus M6 or M6 minus M2 if loss. - -

M8 Other business Sum of gross income from businesses other than M1. - -income For partnership income - amount from item A13.

M9 Dividends Sum of gross income from dividends. HK-3 -Amount from item C(i) Working Sheet HK-3.

M10 Interest and Sum of gross income from interest/discounts. HK-5 -discounts Amount from item A Working Sheet HK-5.

M11 Rents, royalties Sum of gross income from rents, royalties and premium.and premiums Rent - Amount from item B1 Working Sheet HK-4. HK-4 -

Royalties - Amount from item F Working Sheet HK-5. HK-5 -

M12 Other income Sum of gross income from other non-business sources not - -mentioned above.

M13 Total Sum of amounts from items M8 to M12. - -

M14 Loan interest Total expenditure on interest excluding interest on - -hire-purchase/lease.

M15 Salaries and wages Amount as per Profit and Loss Account. - -

M16 Rental/Lease Amount as per Profit and Loss Account. - -

M17 Contracts and Amount as per Profit and Loss Account. - -subcontracts

M18 Commissions Amount as per Profit and Loss Account. - -

M19 Bad debts Amount as per Profit and Loss Account. - -

M20 Travelling and Amount as per Profit and Loss Account. - -transport

M21 Repairs and Amount as per Profit and Loss Account. - -maintenance

M22 Promotion and Amount as per Profit and Loss Account. - -advertisement

M23 Other expenses Total amount of other expenses not listed in items from - -M14 to M22.

M24 Total expense Sum of amounts from items M14 to M23. - -

M25 Net profit/loss Net profit or loss as per Profit and Loss Account. - -



28


M26 Non-allowable Amount from item F1 Working Sheet HK-1, HK-1C, HK-1 / HK-1C / -expenses HK-1D or HK-1E HK-1D/HK-1E

M27 Land and Net book value as per Balance Sheet. - -buildings

M28 Plant and Net book value as per Balance Sheet. - -machinery

M29 Motor vehicles Net book value as per Balance Sheet. - -

M30 Other fixed assets Net book value as per Balance Sheet. - -

M31 Total fixed asset Sum of amounts from items M27 to M30. - -

M32 Investments Cost of investments and fixed deposits. - -

M33 Stock Closing stock of finished goods as per Balance Sheet. - -

M34 Trade debtors Trade debtors as per Balance Sheet. - -

M35 Other debtors Other/Sundry debtors as per Balance Sheet excluding - -drawings by proprietor.

M36 Cash in hand Amount as per Balance Sheet. - -

M37 Cash at bank Amount as per Balance Sheet. - -

M38 Other current Current assets other than M33 to M37. - -assets

M39 Total current asset Sum of amounts from items M33 to M38. - -

M40 Total asset Sum of amounts from items M31, M32 and M39. - -

M41 Loans Amount as per Balance Sheet. - -

M42 Trade creditors Trade creditors as per Balance Sheet. - -

M43 Other creditors Other/Sundry creditors as per Balance Sheet. - -

M44 Total liability Sum of amounts from items M41 to M43. - -

M45 Capital Account Amount as per Balance Sheet. - -

M46 Current account Current account balance carried forward from last year, - -balance brought excluding capital.forward

M47 Current year Amount as per Profit and Loss Account. - -profit/loss If loss, indicate ‘X’ in the box provided.


29


DECLARATION

If the return form is not affirmed and duly signed, it shall be deemed incomplete and returned to you. Penalty will be imposedin case of late resubmission of the return form to Lembaga Hasil Dalam Negeri Malaysia.

This return form ismade on my own Enter “1” if this return form is signed by the individual himself. - -behalf

This return form is Enter “2” if this return form is signed by a representative of the - -made on behalf of individual.the above individual


M 4 8 Net advance/ Takings of cash, stock in trade, etc. from the business by - -drawings the proprietor for personal use/advance of cash.

M 4 9 Current account Sum of amounts from items M46 to M48. - -balance carriedforward

PARTICULARS OF TAX AGENT WHO COMPLETES THIS RETURN FORM


a Name of Firm Name of the appointed tax consultancy firm responsible for filling - -out this Form B.

b Address of Firm Corresponding address of the tax consultancy firm. - -

c Tax Agent’s This item is to be filled in only by a tax agent approved under - -Approval No. the provision of paragraphs 153(3)(b).

Please take note of the reminder of the Form B before signing it. Fill in the date and designation clearly.


30

Part 2 - Working Sheets

This working sheet is prepared to assist you in the computation of statutory income from business.

HK-1 : COMPUTATION OF STATUTORY INCOME FROM BUSINESS

Use separate Working Sheet HK-1 for each business source.


A Balance as per Transfer the balance from the Profit and Loss Account to - -Profit and Loss this box.Account

Separation of Extract any non-business income which has been included - -income according in the Profit and Loss Account and enter it in the appropriateto class box provided.

B Total non-business This is the sum of all non-business income from sources - -income such as dividends, rents, royalties, interest and others.

C Total business A minus B - -income

D1 Non-allowable Examine and extract non-allowable losses from the Profit - -losses and Loss Account. Indicate the type of loss in the space

provided if not listed and fill in the amount.

Example :Loss on disposal of motor vehicle WGA 2001 RM4,000Loss on disposal of cutting machine RM3,000

D2 Surplus recovered Amount from item A Working Sheet HK-1.1A HK-1.1A -expenditure(mining)

D3 Total D1 plus D2. - -

D4 Non-taxable gains/ Examine the Profit and Loss Account and extract the profits which - -income entered in are not taxable as business income. Enter the amount in the boxthe profit and loss provided.account

Example :Profit on disposal of motor vehicle WHU 9001 RM5,000Profit on disposal of sewing machine RM2,000

D5 Total D3 minus D4 - -

E Business income C plus D5. - -

F Adjustment of Non-allowable expenditure must be adjusted in accordance - -business expenditure with income tax provisions.

1.1 Depreciation Provision made on the use of business assets. - -Paragraph 39(1)(b)


31

1.2 Own salary, Remuneration payable to ownself. - -allowances, Paragraph 39(1)(a)bonus, EPF

1.3 Entertainment Entertainment includes the provision of food, drinks, - -recreation or hospitality of any kind (unless for thebenefit of own employees).Paragraph 39(1)(l)

1.4 Gifts Expenditure on gifts except for own employees. - -Paragraph 39(1)(b)

1.5 Donations Donations include those made to approved institutions/ - -organisations under the provision of subsection 44(6).Donations claimed and approved are deductible from theaggregate income in item C24 to C31 of Form Bor C8 to C15 of Borang BE.Paragraph 39(1)(b)

1.6 Penalties/fines/ Payments made due to legal offences or violations of law. - -compound Paragraph 39(1)(b)

1.7 Withdrawal of Withdrawal of stock in trade for personal use is taken into - -stock in trade account at market value.

Paragraph 24(2)(a)

1.8 Cash drawings Withdrawal for personal use of unrecorded business cash - -receipts.Paragraph 39(1)(a)

1.9 Provision for General provision for bad/doubtful debts is disallowed unless - -bad/doubtful it is specific.debts Subsection 34(2)

1.10 Initial/ Expenditure incurred prior to the commencement of the business - -Termination or in terminating it.of business Paragraph 39(1)(b)expenditure

1.11 Capital Expenses which are capital in nature such as the purchase of - -expenditure assets. Paragraph 39(1)(b)

1.12 Legal fees Legal fees which are capital/personal in nature, incurred for - -example in the acquisition of assets.Paragraph 39(1)(b)

1.13 Expenditure Interest not wholly and exclusively incurred in the production - -on interest of gross business income such as interest on loan taken wholly/

partly for personal use.Subsection 33(2).

1.14 Restriction Contributions by the employer to an approved scheme which - -on EPF exceeds 19% of the employees’ remuneration.

Paragraph 34(4)(a)

1.15 Assets written This refers to assets no longer used in the business and are - -off written off.

Paragraph 39(1)(b)



32


1.16 Personal Domestic or private expenses. - -expenditure Paragraph 39(1)(a)

(a) Travelling/ Allowances/Reimbursements to ownself or own employees in - -Accomodation respect of travelling/accomodation unrelated to the business.

(b) Use of Expenses on petrol, toll, parking, insurance, repairs and - -motor vehicle(s) maintenance of motor vehicle(s) for personal use.

(c) Household Disbursements for personal/household use charged to the - -benefits business.

Example :Water and electricity bills, quit rent, assessment, rental, loaninterest, renovation and maintenance.

(d) Telephones Personal calls charged to the business. - -

(e) Fees/ Fees/Subscriptions paid to associations and clubs such as - -Subscriptions entrance fees and membership subscriptions.

Example :Golf club membership

(f) Seminars Payments to attend seminars for the purpose of enhancing - -knowledge and skills.

(g) Medical Medical expenses on ownself and family members. - -

1.17 Other Other expenses not wholly and exclusively incurred in the - -expenditure production of gross business income.

Paragraph 39(1)(b)

Total Sum of amounts from items 1.1 to 1.17 - -

F2 Mining allowance Amount from item B Working Sheet HK-1.1A. HK-1.1A -

F3 Surplus residual Amount from item C Working Sheet HK-1.1A. HK-1.1A -expenditure(mining)

F4 Further deductions These are incentives given under income tax provisions. - Appendix DList out the incentives claimed in the spaces provided.

Example :Further deduction is allowed on theremuneration for disabled employees RM12,000 *

* This expenditure qualifies for further deduction. As RM12,000has already been charged once to the Profit and Loss Account,a further deduction of the same amount is allowed.

Refer to Appendix D to determine the type of incentive youqualify for.

F5 Total Sum of amounts from items F2, F3 and F4. - -


33

F 6 Total adjusted F1 minus F5 - -expenditure

G Adjusted income Compute the adjusted income/loss by doing the necessary - -subtractions and additions for items E and F6.

If the computed figure is positive (+), it is adjusted income.

If the computed figure is negative (-), which is adjusted loss,proceed to item H.

H Adjusted loss Refer to the above explanation. HK-1.3 -Transfer the amount to item D1 Working Sheet HK-1.3.

J1 Adjusted income Amount from item G. - -

Enter “0” in the box provided if it is an adjusted loss.

J2 Balancing charge Adjustment of profit on disposal of assets transferred HK-1.2 -from HK-1.2

Enter “0” if not relevant.

J3 Total J1 plus J2. - -

J4 Capital allowance Amount as per item K4 (restricted to the amount in item J3). - -absorbed

J5 Statutory income J3 minus J4 - -Transfer this amount to item C1 / C2 / C3 Form B.

K1 Balance brought Balance of capital allowances from previous years not - -forward absorbed.

K2 Balancing Residual expenditure of business assets which ceased to be HK-1.2 -allowance used in the business.

Transfer the amount from item B3 Working Sheet HK-1.2.Enter “0” if not applicable.

K3 Capital allowance Claim for current year capital allowance. HK-1.2 -Transfer the amount from item C5 Working Sheet HK-1.2.

K4 Total Sum of amounts from items K1, K2 and K3. - -

K5 Capital allowance Amount as per item K4 but restricted to the amount in item J3. - -absorbed in thecurrent year

K6 Balance carried K4 minus K5. - -forward This amount arises if the amount in item K4 is not fully

absorbed by the amount in item J3.

This balance shall be the amount for item K1 in the followingyear of assessment.



34


A Adjusted Enter the sum of amounts from items A13 and A19 CP 30 -income from of the CP30.partnershipbusiness

B Balancing charge Enter the sum of amounts from items A14 and A20 CP 30 -of the CP30.

C Total A plus B. - -

D Capital allowance Amount of capital allowance that can be absorbed CP 30 -absorbed (restricted to the amount in item C).

E Statutory income C minus D - -

F - G Schedule 7A These items are relevant if you are entitled to claim - -allowance Schedule 7A allowance.

H - J Increased exports These items are applicable if you are entitled to claim - -allowance for increased exports allowance for qualifying services.qualifying services

K Adjustment of thebalance of capitalallowance1. Balance brought Previous years’ capital allowances not absorbed. - -

forward2. Balancing Enter the sum of amounts from items A15 and A21 CP 30 -

allowance and of the CP 30.capital allowance

3. Total Sum of amounts from items K1 and K2. - -

4. Claim absorbed Amount as per item D. - -in the current year

5. Balance carried K3 minus K4. - -forward

L - M Adjustment of the These items are relevant if you are entitled to claim - -balance of Schedule Schedule 7A allowance and increased exports allowance7A allowance & for qualifying services.Increased exportsallowance forqualifying services

HK-1B: COMPUTATION OF STATUTORY INCOME FROM PARTNERSHIP BUSINESS

Use separate working sheet HK-1B for each partnership business source.

HK-1C: COMPUTATION OF STATUTORY BUSINESS INCOME FOR THE INDIVIDUAL ENTITLED TO CLAIMSCHEDULE 7A ALLOWANCE

This working sheet is prepared for use in the computation of Schedule 7A allowance.

HK-1D: COMPUTATION OF STATUTORY BUSINESS INCOME FOR THE INDIVIDUAL ENTITLED TO CLAIMINCREASED EXPORTS ALLOWANCE FOR QUALIFYING SERVICES

This working sheet is provided for use in the computation of increased exports allowance for qualifying services.


35

HK-1.1 : COMPUTATION OF MINING ALLOWANCES &HK-1.2 : SUMMARY OF CAPITAL ALLOWANCES

1. To facilitate a proper claim for mining allowances and capital allowances, relevant assets and expenditure have beenclassified as follows :

SUMMARY OF CAPITAL ALLOWANCES CLAIM INDEX (Arranged in order according to the ITA 1967)

Allowance Type Class Schedule (ITA 1967) Working SheetMining A A1-A3 2 1.1Agriculture B B1-B3 3 1.2.1

Forest C C1-C2 3 1.2.2Industrial Building D D1-D4 3 1.2.3Plant and Machinery E E1-E5 3 1.2.4

2. Assets/Expenditure (according to type) have been classified according to the rate of capital allowance that can be claimed.Refer to this index before entering the type of claim in column A of every working sheet for the computation of miningallowances and capital allowances.

3. Working Sheet HK1.2 has been prepared for use as a summary of capital allowances claim for a year of assessment so thatthe final computed figure can be entered in Working Sheet HK-1/HK-1C/HK-1D/HK-1E.

4. Refer to the index of business assets/capital expenditure provided behind Working Sheets HK-1.1/HK1.2.1/HK-1.2.2/ HK-1.2.3 and HK-1.2.4 for guidance. Working Sheet HK-1.2A is to be used as a summary of capital expenditure made and hasto be kept as long as the business still operates.

HK-1.3 : ADJUSTMENT OF LOSSES FOR BUSINESS AND PARTNERSHIP

A Previous years’ Balance of previous years’ losses from business/ - -losses brought partnership not absorbed.forward

B Previous years’ losses Amount as per item C8 Form B. - -absorbed by currentyear’s statutoryincome

C Balance from A minus B - -previous years’losses not absorbed

D Current year losses :

1. Business Amount from item H Working Sheet HK-1/ HK-1C/ HK-1D HK-1/ HK-1C/ - HK-1D

2. Partnership Sum of amounts from items A13 and A19 of the CP 30. CP 30 -


HK-1E: COMPUTATION OF STATUTORY INCOME FROM PIONEER BUSINESS

This working sheet is provided for use in the computation of statutory income from pioneer business. Use separate working sheetfor each pioneer business.


36

HK-2 : COMPUTATION OF STATUTORY INCOME FROM EMPLOYMENT

A Receipts underparagraph 13(1)(a)

1. Cash receipts Monetary receipts in respect of having or exercising an HK-2.1 -employment include:

Gross salary Fees PerquisitesWages Commissions Awards/rewardsLeave pay Bonuses AllowancesOvertime pay Gross tips

Amount from item Q Working Sheet HK-2.1.

Benefits or Receipts such as shares given free or offeredamenities at lower than market price by the employer.convertibleinto money


This working sheet is prepared for the purpose of computing the statutory income from employment.Use separate working sheet HK-2 for each employment source.

E Losses absorbed Amount as per item C19 Form B. - -by current year’saggregate income

F Balance from D minus E - -current year lossesnot absorbed

G Losses carried C plus F - -forward


HK-1.4 : ADJUSTMENT OF LOSSES FOR PIONEER BUSINESS

A Losses brought Balance of previous years’ losses from pioneer business(es) - -forward not absorbed.

B Current year’s Amount from item H Working Sheet HK-1E. HK-1E -adjusted loss

C Total Sum of amount from items A and B. - -

D Losses absorbed Amount from item M3 Working Sheet HK-1E. HK-1E -

E Losses csrried C minus D - -forward



37

2. Gratuity Refer to the explanation in Appendix B1 HK-2.2 Appendix B1

Amount from item E4(vi) Working Sheet HK-2.2.

3. Tax allowance/ Refer to the explanation in Appendix B2 HK-2.3 Appendix B2Tax borne bythe employer Amount from item C7 Working Sheet HK-2.3.

4. Total Sum of amounts from items A1 to A3. - -

B Benefits-in-kind Refer to the explanation in Appendix B3 HK-2.4 Appendix B3

Amount from item K Working Sheet HK-2.4.

C Value of living Refer to the explanation in Appendix B4 HK-2.5 Appendix B4accomodationbenefit Amount Z from item J1 / 2.1 / 2.2 / 2.3 / 3.1 / 3.2

(whichever applies) Working Sheet HK-2.5.

D Refund from Amount as reported by the employer in the Form EA / EC. HK-2.6 -unapproved Amount to be taxed shall be the amount paid out from thePension or, employer’s contribution in such fund, scheme or societyProvident Fund to the employee.Scheme orSociety Example :

Amount received from an unapproved pension scheme :-

Employer’s contribution RM24,000Employee’s contribution RM30,000Total RM54,000

Taxable amount is RM24,000Enter the employer’s contribution in this box.

Amount from item A Working Sheet HK-2.6.

E Compensation Refer to the explanation in Appendix B5 HK-2.7 Appendix B5for loss ofemployment Amount from item D Working Sheet HK-2.7.

F Total gross Sum of amounts from items A to E. - -employmentincome

G Subscriptions Compulsory membership subscriptions paid to professional - -to professional bodies to ensure the continuance of a professional standingbodies and practice such as those paid by those in the medical and

legal profession.



38


H Entertainment Entertainment includes the provision of : - -expenditure

1. food, drinks, recreation or hospitality of any kind ; or

2. accomodation or travel in connection with or for thepurpose of facilitating entertainment of the kind mentionedin (1) above.

Section 18Deduction is allowed if incurred in the discharge of officialduties but shall not exceed the amount of entertainmentallowance included as part of the gross employmentincome.Section 38A

Example :

Salary RM30,000Entertainment allowance RM 8,000

Amount expended in respect of entertainment is RM10,000.Deduction allowed is restricted to RM8,000.

J Travelling Travelling expenditure wholly and exclusively incurred in the - -expenditure production of gross employment income is deductible.

1. The full amount of allowance must be included in the grossemployment income irrespective of whether this expenditureis wholly or partly deductible.

2. Reimbursements received from the employer in respectof travelling is neither liable to tax nor deductible.

3. Travelling expenditure is not deductible if incurred intravelling to and from the house and place of work.

Example :

Annual salary RM30,000Annual travelling allowance RM 6,000

Amount expended on travelling in the discharge of officialduties is RM5,000.Amount of deduction allowed is RM5,000.

K Expenditure Expenditure paid by an employee in respect of the living HK-2.5 Appendix B4related to the accomodation provided by his employer, is deductible such as :living accomodation 1. Rental (accomodation and furniture).provided by 2. Quit rent, assessment and insurance.the employer 3. Repairs/Maintenance of the premise.

(However, the amount of claim is restricted to the sum of thevalue of living accomodation and related benefits/amenitiesprovided to the employee)Paragraphs 38(1)(a) and 38(1)(b)

L Total Sum of amounts from items G, H, J and K5 - -

M Statutory income F minus L - -from employment


39


HK-2.1 : RECEIPTS UNDER PARAGRAPH 13(1)(a)

A Gross salary/ Gross salary/remuneration as per Form EA / EC. - -remuneration

B Wages Payments received for work/services rendered. - -

C Leave pay Gains or profits for any period of leave attributable to the - -exercise of an employment in Malaysia, constitutes employmentincome derived from Malaysia.

D Overtime pay Payments received in respect of overtime work. - -

E Fees Fees received as per Form EA / EC. - -

F Commissions Commissions received as per Form EA / EC. - -

G Bonuses Bonuses received as per Form EA / EC. - -

H Gross tips Tips received from customers. --

J Perquisites Benefits convertible into money received from the - -employer/third parties in respect of having orexercising the employment.

With effect from year of assessment 2007, perquisiteprovided to employee pursuant to his employment,whether in money or otherwise, is exempted fromtax up to maximum amount or value of RM1,000 inrespect of:1. past achievement award;2. service excellence award; or3. long service award provided that the employee

has exercised an employment for more than10 years with the same employer.

K Awards/Rewards Awards/Rewards received from the employer. - -


N SUMMARY OF - -STATUTORYINCOME FROMEMPLOYMENT

1. Employment 1 Enter the amount from items M for Employment 1.



4. Total Sum of amounts from items N1 to N3.

Transfer the amount from items N4 to item C1 Form BE /C10 Form B.


40

L Allowances Allowances received may be of various types such as - -motor vehicle allowance and housing allowance.

M Household telephone If the telephone is subscribed by the employee, the benefit - -bills paid by the to be taxed shall be the actual cost of the employee’s privateemployer bills paid by his employer.

N Recreational club Where the type of the membership is for individual, the taxable - -membership benefit shall be the amount paid/reimbursed by the employer

for his employee’s entrance fee and monthly/annual membershipsubscription fees for club membership ang term membership.

P Other receipts Other payments received for work/services rendered. - -

Q Total Sum of amounts from items A to P. HK-2 -

Transfer the amount from item Q to item A1 Working Sheet HK-2.

HK-2.2 : COMPUTATION OF TAXABLE GRATUITY

A - E Taxable gratuity Refer to the explanation in Appendix B1. - Appendix B1

F Transfer the amounts from items E4(i) to E4(v) for the - - preceding years of assessment to Part G Form B/BE.

G Transfer the amount from item E4(vi) to item A2 Working HK-2 -Sheet HK-2.



HK-2.3 : COMPUTATION OF TAX ALLOWANCE

A - C Tax allowance Refer to Appendix B2 for further explanation. - Appendix B2


HK-2.4 : BENEFITS-IN-KIND (BIK) [PARAGRAPH 13(1)(b)]


A - F Benefits-in-kind Enter the amount according to the type of benefit received. - Appendix B3

Refer to Appendix B3 for further explanation.

K Total Transfer this amount to item B Working Sheet HK-2. HK-2 -


41

HK-2.5 : BENEFIT / VALUE OF LIVING ACCOMODATION PROVIDED [PARAGRAPH 13(1)(c)]


A Job status Enter “ X ” according to the current job status. - -

B Type of Enter “ X ” according to the type of accomodation provided. - -accomodation

C Share of Enter “ X “ in the relevant box. - -accomodation

If shared - Indicate your share of the accomodation providedand the accomodation provided as a whole.Example :If your share of the accomodation provided = 1/4Enter :Share of accomodation ( X ) ( Y )

If the accomodation is partly used to advance the interests ofthe employer - Indicate the portion of the premise used for suchpurpose and your share of the accomodation provided.Example :If your share of the accomodation provided = 1/2Enter :Share of accomodation ( X ) ( Y )

D Period for which State the length of the period for which the accomodation is - -the accomodation provided (indicate in number of months).is provided

E Length of State the length of employment in the current year (indicate - -employment in number of months).in the currentyear

F Defined value Enter the annual value of the accomodation provided. - -

G Receipts under Transfer the amount from item A5 Working Sheet HK-2 HK-2 -paragraph 13(1)(a)

H 1. 30% of G Enter the result of G x 30/100 in this box. - -

2. 3% of G Enter the result of G x 3/100 in this box.

J1-3.2 Value of living Select the appropriate category, compute and enter the HK-2 Appendix B4accomodation amount derived in the box provided.subject to tax Refer to Appendix B4 for further explanation.

Transfer the amount from item Z to item C Working Sheet HK-2.

11111

11111 22222

! !

! !

44444


42

HK-2.6 : REFUND FROM UNAPPROVED PENSION OR PROVIDENT FUND, SCHEME OR SOCIETY

A Employer’s Enter the amount of employer’s contribution. HK-2 -contribution

Transfer this amount to item D Working Sheet HK-2.

B Employee’s Enter the amount of employee’s contribution. - -contribution

C Total Sum of amounts from items A and B. - -


HK-2.7 : COMPUTATION OF TAXABLE COMPENSATION

A - D Compensation Refer to Appendix B5 for further explanation. HK-2 Appendix B5

Transfer the amount from item D to item E Working Sheet HK-2.


HK-3 : TAX DEDUCTION UNDER SECTION 110 (DIVIDENDS)

A - D Tax deduction This working sheet is provided for the purpose of computing the - -under section 110 gross income from dividends and the tax to be deducted under(dividends) section 110.


HK-4 : PARTICULARS OF PROPERTIES / ASSETS AND TOTAL RENTAL

A - D Particulars of This working sheet is provided for the purpose of computing the - -properties/assets statutory income from rents.and total rental


HK-5 : COMPUTATION OF STATUTORY INCOME FROM INTEREST / ROYALTIES

A - H Interest/Royalties This working sheet is provided for the purpose of computing the - -statutory income from interest/royalties.



43

HK-10 : INSTALMENTS / SCHEDULAR TAX DEDUCTIONS PAID

A1 Employer’s E No. Enter the E file reference number of the employer who made the - -deductions.

A2 Period of Deduction State the period of deduction for which the deductions were made - -in the current year.

A3 Schedular Tax Schedular Tax Deductions (STD) made in the current year by the - -Deductions (STD) employer in respect of current year’s income.

A4 CP38 Deductions Deductions made by the employer according to the CP38 - -(Direction To Deduct From The Remuneration) for payment of theprevious years’ tax liability.

A5 Deductions for Zakat Deductions for zakat made by the employer in the current year. - -


HK-6 : TAX DEDUCTION UNDER SECTION 110 (OTHERS)

A - G Tax deduction Use this working sheet to compute the gross income and tax to - -under section 110 be deducted under section 110 in respect of interest/royalties/(others) special classes of income under section 4A.


HK-8 : INCOME FROM COUNTRIES WHICH HAVE AVOIDANCE OF DOUBLE TAXATION AGREEMENT WITHMALAYSIA AND CLAIM FOR SECTION 132 TAX RELIEF

A - H Section 132 Use this working sheet to compute the income from countries - -tax relief with avoidance of double taxation agreement and claim for tax

relief under section 132.



HK-9 : INCOME FROM COUNTRIES WITHOUT DOUBLE TAXATION AGREEMENT WITH MALAYSIA ANDCLAIM FOR SECTION 133 TAX RELIEF

A - H Section 133 Use this working sheet to compute the income from countries - -tax relief without avoidance of double taxation agreement and claim for

tax relief under section 133.


44

HK-11 : BASIS YEAR PAYMENTS TO NON-RESIDENTS (WITHHOLDING TAX)

Basis year Use this working sheet to report the details of payments made - -payments to in the basis year to non-residents which involve withholdingnon-residents tax.(withholding tax)


B1 Employer’s E No. Enter the E file reference number of the employer who deducts. - -

B2 Year/Period of The year or period for which the previous year’s income is paid. - -Income

B3 Schedular Tax Schedular Tax Deductions (STD) made in the current year due to - -Deductions (STD) previous years’ income.

C Instalments paid in Instalment payments made under the direction of CP500 or - -respect of CP500 CP503 in respect of current year’s income.or CP503

D Payments made for Payments made in the current year other than A, B and C with - -the current year other regard to the current year’s income.than A, B and C

E Total Sum of amounts from items A3, C and D. - -Transfer this amount to item F2 Form B/BE.


HK-13 : DEDUCTION FOR MAINTENANCE OF UNMARRIED CHILDREN

Deduction for This working sheet is provided for the computation of claim for - -maintenance of deduction under section 48.unmarried children


HK-14 : LIFE INSURANCE PREMIUMS / CONTRIBUTIONS TO APPROVED PROVIDENT OR PENSION FUND,EDUCATION AND MEDICAL INSURANCE

Life insurance Use this working sheet to compute the claim for deduction of - -premiums /EPF, life insurance premiums/contributions made to an approvededucation and Provident or Pension Fund, insurance on education or formedical insurance medical benefits.


Working Sheet page - 1

Year Of Assessment

Type Of Business

Item Amount

A. BALANCE AS PER PROFITAND LOSS ACCOUNT

LESS : SEPARATION OF INCOME ACCORDING TO CLASS

Dividend income

Rental income

Royalty income

Interest income

Other income

B. TOTAL NON-BUSINESS INCOME

C. TOTAL BUSINESS INCOME (A - B)

D. ADJUSTMENT OF BUSINESS INCOME

ADD :

1. Non-allowable losses :

Loss on disposal of assets

Foreign exchange loss

Loss from investments

.................................................

.................................................

TOTAL

2. Surplus recovered expenditure(mining)

3. TOTAL (D1 + D2)

+ –

Business Code

HK-1: COMPUTATION OF STATUTORY INCOME FROM BUSINESS

Enter “X” in the relevant box.Business

1 2 3 4 5

Name

Tax Reference No. I/C No.

Business Registration No.


LESS :

4. Non-taxable gains/income entered in the profit and loss account :

Profit on disposal of assets

Foreign exchange gain

Profit from investments

.................................................................

.................................................................

TOTAL

5. TOTAL (D3 - D4)

E. BUSINESS INCOME (C + D5)

F. ADJUSTMENT OF BUSINESS EXPENDITURE

ADD :

1. Non-allowable expenditure and charges :

1.1 Depreciation1.2 Own salary, allowances, bonus, EPF1.3 Entertainment1.4 Gifts1.5 Donations1.6 Penalties/Fines/Compound1.7 Withdrawal of stock in trade for own use1.8 Cash drawings1.9 Provision for bad/doubtful debts1.10 Initial/Termination of business expenditure1.11 Capital expenditure1.12 Legal fees1.13 Expenditure on interest1.14 Restriction on EPF1.15 Assets written off1.16 Personal expenditure :

(a) Travelling/Accomodation(b) Use of motor vehicle(s)(c) Household benefits(d) Telephones/Handphones(e) Fees/Subscriptions (unrelated to the business)(f) Seminars(g) Medical

1.17 Other expenditure (Please specify ............................................) TOTAL (1.1 to 1.17)

LESS :2. Mining allowance

3. Surplus residual expenditure (mining)

4. Further deductions :

4.1 .....................................................

4.2 .....................................................

4.3 .....................................................

5. TOTAL (F2 + F3 + F4)

6. TOTAL ADJUSTED EXPENDITURE(F1 - F5)

G. ADJUSTED INCOME (E + F6)Or

H. ADJUSTED LOSS (F6 – E)If G - (Adjusted Income), proceed to item J for further computation.If H - (Adjusted Loss) , transfer this amount to item D1 HK-1.3 before proceeding to items

J and K for computing the balance of capital allowance to be carried forward.

J. COMPUTATION OF STATUTORY INCOME

1. ADJUSTED INCOME(Enter “0” in this box if there is adjusted loss for item H)

2. ADD : Balancing Charge

3. TOTAL (J1 + J2)

4. LESS : Capital Allowance absorbed(amount as per item K4 but restricted to the amount in item J3)

5. STATUTORY INCOME (J3 - J4)

K. ADJUSTMENT OF THE BALANCE OF CAPITAL ALLOWANCE (if relevant)

1. Balance brought forward

ADD :

2. Balancing allowance

3. Capital allowance

4. TOTAL (K1 + K2 + K3)

LESS :

5. Capital allowance absorbed in the current year(amount as per item J4)

6. Balance carried forward (K4 - K5)



HK-1B : COMPUTATION OF STATUTORY INCOME FROM PARTNERSHIP BUSINESS

1 2 3 4 5Partnership Business Year Of Assesment Enter “X” in the relevant box.

A. Adjusted income from partnership business(amount from items A13 and A19 of the CP30)If loss, enter “0” in this box and transfer the amount of adjusted lossto item D2 Working Sheet HK-1.3. Proceed with your computationfor items B to M below (if applicable)

ADD :B. Balancing Charge

(Amount from items A14 and A20 of the CP30)

C. TOTAL (A + B)

LESS :

D. Capital allowance absorbed(Amount as per item K3 but restricted to the amount in item C)

E. STATUTORY INCOME (C - D)

Or*IF ENTITLED TO CLAIM SCHEDULE 7A ALLOWANCE, PROCEED TO COMPUTE AS FOLLOWS:

LESS:F. Schedule 7A allowance

(Amount from items A16 and A22 of the CP30)(Restricted to 70% of the statutory income in item E)

G. STATUTORY INCOME AFTER DEDUCTION OFSCHEDULE 7A ALLOWANCE (E - F)

Or*IF ENTITLED TO CLAIM INCREASED EXPORTS ALLOWANCE FORQUALIFYING SERVICES, PROCEED TO COMPUTE AS FOLLOWS:

LESS:

H. Increased Exports Allowance For Qualifying Services claimed(Amount from items A17 and A23 of the CP30)(Restricted to 70% of the statutory income in item E)

J. STATUTORY INCOME AFTER DEDUCTION OF INCREASED EXPORTSALLOWANCE FOR QUALIFYING SERVICES (E - H)

Name



K. ADJUSTMENT OF THE BALANCE OF CAPITAL ALLOWANCE (if relevant)


ADD :

2. Balancing allowance and capital allowance(Amount from items A15 and A21of the CP30)

3. TOTAL (K1 + K2)

LESS :

4. Claim absorbed in the current year(Amount as per item D)

5. Balance carried forward (K3 - K4)

L. ADJUSTMENT OF THE BALANCE OF SCHEDULE 7A ALLOWANCE (if relevant)


ADD :

2. Current year’s Schedule 7A allowance(Amount from items A16 and A22 of the CP30)

3. TOTAL (L1 + L2)

LESS :

4. Claim absorbed in current year (Amount as per item F)

5. Balance carried forward (L3 - L4)

M. ADJUSTMENT OF THE BALANCE OF INCREASED EXPORTS ALLOWANCE FOR QUALIFYINGSERVICES (if relevant)


ADD :

2. Current year’s Increased Exports Allowance for Qualifying Services(Amount from items A17 and A23 of the CP30)

3. TOTAL (M1 + M2)

LESS :

4. Claim absorbed in current year (Amount as per item H)

5. Balance carried forward (M3 - M4)


Year Of Assessment

Type Of Business

Item Amount



Dividend income

Rental income

Royalty income

Interest income

Other income




ADD :





.................................................

.................................................

TOTAL

2. Surplus recovered expenditure(mining)

3. TOTAL (D1 + D2)

+ –

Business Code

HK-1C: COMPUTATION OF STATUTORY BUSINESS INCOME FOR THE INDIVIDUAL ENTITLED TO CLAIM SCHEDULE 7A ALLOWANCE

Enter “X” in the relevant box.Business

1 2 3 4 5


Name



LESS :





.................................................................

.................................................................

TOTAL

5. TOTAL (D3 - D4)

E. BUSINESS INCOME(C + D5)


ADD :


1.1 Depreciation1.2 Own salary, allowances, bonus, EPF1.3 Entertainment1.4 Gifts1.5 Donations1.6 Penalties/Fines/Compound1.7 Withdrawal of stock in trade for own use1.8 Cash drawings1.9 Provision for bad/doubtful debts1.10 Initial/Termination of business expenditure1.11 Capital expenditure1.12 Legal fees1.13 Expenditure on interest1.14 Restriction on EPF1.15 Assets written off1.16 Personal expenditure :



1.17 Other expenditure (Please specify .......)

TOTAL (1.1 to 1.17)

LESS :

2. Mining allowance

3. Surplus residual expenditure (mining)

4. Further deductions

4.1 .....................................................

4.2 .....................................................

4.3 .....................................................

5. TOTAL (F2 + F3 + F4)


G. ADJUSTED INCOME (E + F6)Or

H. ADJUSTED LOSS (F6 – E)If G - (Adjusted Income), proceed to item J for further computation.If H - (Adjusted Loss), transfer the amount of adjusted loss to item D1 HK-1.3 before proceeding

to items J and Q for computing the balance of capital allowance to be carried forward.

J. COMPUTATION OF STATUTORY INCOME1. ADJUSTED INCOME

(Enter “0” in this box if there is adjusted loss for item H)


3. TOTAL

4. LESS : Capital Allowance absorbed(Amount as per item Q4 below but restricted to theamount in item J3)

5. STATUTORY INCOME (J3 – J4)

K. COMPUTATION OF CLAIM FOR SCHEDULE 7A ALLOWANCE

1. % x =(qualifying capital expenditure)

ADD2. Balance of allowance brought forward

3. TOTAL (K1 + K2)

L. RESTRICTION LIMIT OFSTATUTORY INCOME % x

(J5)

M. SCHEDULE 7A ALLOWANCE (K3 OR L whichever is lower)

N. TAXABLE STATUTORY INCOME (J5 - M)


P. ADJUSTMENT OF THE BALANCE OF SCHEDULE 7A ALLOWANCE


ADD:

2. Current year claim

3. TOTAL

LESS :

4. Claim absorbed in current year (amount as per item M)

5. Balance carried forward (P3 - P4)

Q. ADJUSTMENT OF THE BALANCE OF CAPITAL ALLOWANCE (if relevant)


ADD :



4. TOTAL

LESS :

5. Claim absorbed in the current year (amount as per item J4)

6. Balance carried forward (Q4 - Q5)


Type Of Business

Item Amount

A. BALANCE AS PER PROFIT ANDLOSS ACCOUNT


Dividend income

Rental income

Royalty income

Interest income

Other income




ADD :





.....................................................

.....................................................

TOTAL

+ –

Business Code

HK-1D : COMPUTATION OF STATUTORY BUSINESS INCOME FOR THE INDIVIDUAL ENTITLEDTO CLAIM INCREASED EXPORTS ALLOWANCE FOR QUALIFYING SERVICES

Enter “X” in the relevant box.

Business 1 2 3 4 5

Year Of Assessment


Name



LESS :





.................................................................

.................................................................

3. TOTAL (D1 - D2)

E. BUSINESS INCOME(C + D3)


ADD :


1.1 Depreciation1.2 Own salary, allowances, bonus, EPF1.3 Entertainment1.4 Gifts1.5 Donations1.6 Penalties/Fines/Compound1.7 Withdrawal of stock in trade for own use1.8 Cash drawings1.9 Provision for bad/doubtful debts1.10 Initial/Termination of business expenditures1.11 Capital expenditure1.12 Legal fees1.13 Expenditure on interest1.14 Restriction on EPF1.15 Assets written off1.16 Personal expenditure :


1.17 Other expenditure(Please specify ................)

TOTAL (1.1 to 1.17)


LESS :

2. Further deductions

2.1 .....................................................

2.2 .....................................................

2.3 .....................................................

TOTAL (2.1 to 2.3)


G. ADJUSTED INCOME (E + F3)

Or

H. ADJUSTED LOSS (F3 – E)If G - (Adjusted Income), proceed to item J for further computation.If H - (Adjusted Loss), transfer the amount of adjusted loss to item D1 HK-1.3 before proceeding

to items J and N for computing the balance of capital allowance to be carried forward.

J. COMPUTATION OF STATUTORY INCOME1. ADJUSTED INCOME

(Enter “0” in this box if there is adjusted loss for item H)


3. TOTAL

4. LESS : Capital Allowance absorbed(Amount as per item N4 below but restricted to theamount in item J3)

5. STATUTORY INCOME (J3 – J4)

K. COMPUTATION OF CLAIM FOR INCREASED EXPORTSALLOWANCE FOR QUALIFYING SERVICES1. 70% x Statutory Income (Restriction) =

2. Eligible claim for Increased Exports AllowanceFor Qualifying Services (Amount from item M6)

3. Increased Exports Allowance For Qualifying Services absorbed(Amount K1 or K2 whichever is lower)

L. TAXABLE STATUTORY INCOME (J5 - K3)

M. ADJUSTMENT OF THE BALANCE OF INCREASED EXPORTS ALLOWANCE FOR QUALIFYING SERVICES1. Balance of Increased Exports Allowance For Qualifying Services

brought forward

2. Current year income from Exports OfQualifying Services

LESS :

3. Previous year’s income from Exports OfQualifying Services


4. Value of Increased Exports Of Qualifying Services(M2 - M3)

5. Increased Exports Allowance For Qualifying Services (M4 x 50%)

6. TOTAL (M1 + M5)(Transfer this amount to item K2)

7. Increased Exports Allowance For Qualifying Services absorbed(Amount as per item K3)

8. Balance carried forward (M6 - M7)

N. ADJUSTMENT OF THE BALANCE OF CAPITAL ALLOWANCE (if relevant)

1. Balance brought forwardADD :



4. TOTAL

LESS :

5. Claim absorbed in the current year (Amount as per item J4)

6. Balance carried forward (N4 - N5)

QUALIFYING SERVICES

1. Legal2. Accounting3. Architecture4. Marketing5. Business consultancy6. Office services7. Construction management8. Building management9. Plantation management10. Private health care11. Private education12. Publishing services13. Information technology and communication (ICT) services14. Engineering services15. Printing services16. Local franchise services


HK-1E : COMPUTATION OF STATUTORY INCOME FROM PIONEER BUSINESS

Name



Enter ‘X’ in the relevant box. Select one only. Use separate working sheet for each type of promoted activity/product.

APPROVAL UNDER PROMOTION OF INVESTMENTS ACT 1986:

APPLICATION FOR INCENTIVE MADE BEFORE 1/1/1991

100% ADJUSTED INCOME EXEMPTED

APPLICATION FOR INCENTIVE MADE ON OR AFTER 1/1/1991

100% STATUTORY INCOME EXEMPTED



TYPE OF PROMOTED ACTIVITY / PRODUCT

Year Of Assessment

Type Of Business

Item Amount

+ –

Business Code

Enter ‘X’ in the relevant box.

Business 1 2 3 4 5


LESS: SEPARATION OF INCOME BY CLASS

Dividend income

Rental income

Royalty income

Interest income

Other income


C. TOTAL BUSINESS INCOME ( A - B )



ADD:

1. Non-allowable losses:


Foreign exchange losses


.................................................

.................................................

TOTAL

LESS:

2. Non-taxable gains/income entered in the profit and loss account:




..................................................

..................................................

TOTAL

3. TOTAL ( D1 - D2 )

E. BUSINESS INCOME ( C + D3 )


ADD:

1. Non-allowable expenditure and charges:

1.1 Depreciation1.2 Own salary, allowances, bonus, EPF1.3 Entertainment1.4 Gifts1.5 Donations1.6 Penalties/Fines/Compound1.7 Withdrawal of stock in trade for own use1.8 Cash drawings1.9 Provision for bad/doubtful debts1.10 Initial/Termination of business expenditure1.11 Capital expenditure1.12 Legal fees1.13 Expenditure on interest1.14 Restriction on EPF1.15 Assets written off



1.16 Personal expenditure:(a) Travelling/Accomodation(b) Use of motor vehicle(s)(c) Household benefits(d) Telephones/Handphones(e) Fees/Subscriptions (unrelated to the business)(f) Seminars(g) Medical

1.17 Other expenditure(Please specify ............................................)

TOTAL ( 1.1 to 1.17 )

LESS:

2. Further deductions:

2.1 .....................................................

2.2 .....................................................

2.3 .....................................................

3. TOTAL ADJUSTED EXPENDITURE( F1 - F2 )

G. ADJUSTED INCOME ( E + F3 )

OR

H. ADJUSTED LOSS ( F3 – E )If G (Adjusted Income) - Proceed to item J for further computation.If H (Adjusted Loss) - Transfer this amount to item B Working Sheet HK-1.4.

J. COMPUTATION OF STATUTORY INCOME

1. ADJUSTED INCOME(Enter ‘0’ in this box if there is adjusted loss for item H)

2. ADD: Balancing charge

3. TOTAL ( J1 + J2 )

4. LESS: Capital allowance absorbed(amount as per item N4 but restricted to the amount in item J3)

5. STATUTORY INCOME ( J3 - J4 )

N. ADJUSTMENT OF THE BALANCE OF CAPITAL ALLOWANCE (if relevant)


ADD:



4. TOTAL (N1 + N2 + N3)LESS:

5. Claim absorbed in the current year(amount as per item J4)

6. Balance carried forward (N4 - N5)

L. Please use the following columns for deduction of losses (if any).

1. Adjusted income (amount from item J1)

2. Statutory income (amount from item J5)

M. COMPUTATION OF TAX EXEMPT PIONEER INCOME

1. Amount from item K2 / L1 / L2

LESS:

2. Section 21A PIA 1986 loss(Non-promoted activity/product)

3. Section 25(2) PIA 1986 loss[(Pioneer loss brought forward and current year’spioneer losses from other pioneer businesses (if any)]

4. TAX EXEMPT PIONEER INCOME (M1 - M2 - M3)

K. Computation of the taxable and tax exempt statutory income

1. Taxable statutory income =

% x

2. Tax exempt statutory income =

% x

=

=

(J5)

(J5)

OR



HK-1.1

No

te:

Th

e a

llow

an

ce is

arr

ive

d a

t by

div

idin

g th

e r

esi

du

al e

xpe

nd

iture

at t

he

en

d o

f th

e b

asi

s p

eri

od

by

the

re

sid

ua

l life

of t

he

min

e a

t th

e b

eg

inn

ing

of

the

ba

sis

pe

rio

d.

Wh

ere

the

acc

ou

ntin

g p

eri

od

is le

ss o

r m

ore

tha

n 1

2 m

on

ths,

the

allo

wa

nce

is d

ecr

ea

sed

or

incr

ea

sed

acc

ord

ing

to ti

me

ba

sis.

Exp

ect

ed

Life

of

the

Min

e :

1

.To

tal

acr

ea

ge

of

de

po

sits

ava

ilab

le f

or

dre

dg

ing

or

oth

er

min

ing

op

era

tion

s

Exp

ect

ed

acr

ea

ge

to

be

dre

dg

ed

, e

tc.,

an

nu

ally

2.

To

tal

est

ima

ted

de

po

sits

in

to

ns/

pic

uls

E

xpe

cte

d r

ate

of

an

nu

al p

rod

uct

ion

in t

on

s/p

icu

ls

AB

C

D

EF

G

H

J

K

L

Year

Of A

sses

smen

t

Nam

e

Tax R

efer

ence

No.

(Tr

ansf

er th

e am

ount

s fro

m ite

ms H

, J an

d K

to H

K- 1.

1A)

Min

ing

allo

wa

nce

Re

sid

ua

le

xpe

nd

iture

b/f

De

velo

pm

en

te

xpe

nd

iture

Tota

l(

C +

D )

Re

cove

red

exp

en

ditu

reTo

tal

( E

- F

)

Su

rplu

sre

sid

ua

le

xpe

nd

iture

Su

rplu

sre

cove

red

exp

en

ditu

re

Re

sid

ua

l lif

eo

f th

e m

ine

Cla

ss

Ite

mR

esi

du

al

exp

en

ditu

rec/

f

3 4 5 6 7 8 9 10 11T

OTA

L

HK

-1.1

:

MIN

ING

ALL

OW

AN

CE

S

21

=

X y

ears

OR

=

X y

ears


MINING ALLOWANCE INDEX

Class Type Of Asset Allowance Reference

A1 Cost of acquisition of the mine or rights in or over the mine,

a. Roads, tramways,

b. Workshops, stores and quarters.

A2 Cost of prospecting new or existing mine;

a. Sinking shafts, tunnelling and underground development ; As per computation Section 34(6)(c)prepared

b. Works in connection with water and power supply, roads, under this Schedule Paragraphs 3 and 5tramways, railway sidings, tailings, retention and slime Schedule 2 ITAdisposal ; and 1967

c. Construction of buildings including quarters for the miningstaff.

A3 General administration and management expenses beforethe commencement of production or during the temporarynon-production period.

COMPUTATION OF THE EXPECTED LIFE OF THE MINE

The expected life of the mine is computed as follows :

1. Total acreage of deposits available for dredging or other mining operations (T)Expected acreage to be dredged, etc., annually (M)

TM

2. Total estimated deposits in tons/piculs (P)Expected rate of annual production in tons/piculs (K)

PK

= X years

Or

= X years

Or

= X years

= X years


A B CSurplus Recovered Mining Allowance Surplus Residual

Expenditure [Section 34 & Expenditure [Section 34 &[Subsection 30(3)] Paragraph 3 Schedule 2] Paragraph 12 Schedule 2]

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4

ATTACHMENT 5

TOTAL

HK-1.1A : SUMMARY OF MINING ALLOWANCES

(Transfer this amount (Transfer this amount (Transfer this amount to item D2, HK-1/ to item F2, HK-1/ to item F3, HK-1/ HK-1C) HK-1C) HK-1C)

Name

Tax Reference No.

Year Of Assessment


A. BALANCING CHARGE Working Sheet

1. Qualifying agriculture expenditure HK-1.2.1A

2. Qualifying forest expenditure HK-1.2.2A

3. Industrial building HK-1.2.3A

4. Plant and machinery HK-1.2.4A

5. TOTAL(Transfer this amount to item J2, HK-1/ J2, HK-1C/ J2, HK-1D/ J2, HK-1E)

B. BALANCING ALLOWANCE



3. TOTAL(Transfer this amount to item K2, HK-1/ Q2, HK-1C/ N2, HK-1D/ N2, HK-1E)

C. CURRENT YEAR CAPITAL ALLOWANCE

1. Qualifying agriculture expenditure HK-1.2.1A

2. Qualifying forest expenditure HK-1.2.2A



5. TOTAL(Transfer this amount to item K3, HK-1/ Q3, HK-1C/ N3, HK-1D/ N3, HK-1E)

HK-1.2: SUMMARY OF CAPITAL ALLOWANCES

Name

Tax Reference No.

Year Of Assessment


HK-1.2.1

Yea

r Of A

sses

smen

t

Nam

e

Tax R

efer

ence

No.

AB

CD

EF

GH

JK

L

M

N

Date

of

Resid

ual

exp

endi

ture

Cost

expe

nditu

rein

curre

db/

f

1 2 3 4 5 6 7 8 9 10 11 TO

TAL

12AG

RICU

LTUR

E CH

ARG

E

(1

1K +

11L)

(Tra

nsfe

r thi

s am

ount

to H

K-1

.2.1

A)

13AG

RICU

LTUR

E ALL

OWAN

CE (1

1M)

(Tra

nsfe

r thi

s am

ount

to H

K-1

.2.1

A)

NOTE

:Ag

ricul

ture

char

ge o

n an

ass

et w

hich

is d

ispos

ed o

f with

in 6

year

s fro

m th

e da

te o

n wh

ich th

e ex

pend

iture

was

incu

rred

or d

eem

ed in

curre

d, is

:(i)

Valu

e N

or(ii

)N/

Y* w

here

the

agric

ultu

re ch

arge

is sp

read

equ

ally

over

the

year

s of a

sses

smen

t for

whi

ch th

e ag

ricul

ture

allo

wanc

es w

ere

give

n(P

rovis

o to

par

agra

ph 2

7 Sc

hedu

le 3

).

* “Y”

is th

e nu

mbe

r of y

ears

of a

sses

smen

t for

whi

ch th

e ag

ricul

ture

allo

wanc

es w

ere

give

n to

the

busin

ess.

Cla

ss I

tem

Date

of

Year

of

Rate

disp

osal

asse

ssm

ent

%

HK

-1.2

.1:

AG

RIC

ULT

UR

E A

LLO

WA

NC

ES

Gra

nt/

Subs

idy

Agric

ultu

rech

arge

Agric

ultu

real

lowa

nce

Accu

mul

ated

allo

wanc

eAn

nual

allo

wanc

eRe

sidua

lex

pend

iture

c/f


B1 Qualifying agriculture expenditure :

a. Clearing and preparation of land for thepurposes of agriculture Paragraph 7(1)(a)

b. Planting (but not replanting) of crops on landcleared for planting Paragraph 7(1)(b) 50 Paragraph 23

c. Construction on a farm of a road or bridge Paragraph 7(1)(c)

B2 Construction of a building for the welfare ofpersons or as living accomodation forpersons, employed in or in connection withthe working of that farm Paragraph 7(1)(d) 20 Paragraph 22(a)

B3 Buildings

a. Officeb. Building for the purpose of working the farm Paragraph 7(1)(d) 10 Paragraph 22(b)

AGRICULTURE ALLOWANCE INDEX

Annual Allowance

Rate (%) Reference (Schedule 3)

Reference(Schedule 3)Class Type Of Asset


A B

Agriculture AgricultureCharge Allowance

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4

ATTACHMENT 5

TOTAL

HK-1.2.1A : SUMMARY OF AGRICULTURE ALLOWANCES

(Transfer this amount (Transfer this amount to item A1, HK-1.2) to item C1, HK-1.2)

Name

Tax Reference No.

Year Of Assessment


HK-1.2.2

Year

Of A

sses

smen

t

Nam

e

Tax R

efer

ence

No.

AB

CD

EF

GH

JK

L

Accu

mul

ated

Ite

m

Cla

ssCo

stfo

rest

allo

wanc

e

1 2 3 4 5 6 7 8 9 10 11TO

TAL

12FO

REST

CHA

RGE

(11K)

(Tra

nsfe

r thi

s am

ount

to H

K-1

.2.2

A)

13FO

REST

ALL

OWAN

CE(11

H)(T

rans

fer t

his

amou

nt to

HK

-1.2

.2A

)NO

TE:

Fore

st ch

arge

on

an a

sset

whi

ch is

disp

osed

, is :

(i)Va

lue

L or

(ii)

L/Y*

whe

re th

e fo

rest

char

ge is

spre

ad e

qual

ly ov

er th

e ye

ars o

f ass

essm

ent f

or w

hich

the

fore

st a

llowa

nces

wer

e gi

ven.

(Pro

viso

to p

arag

raph

32

Sche

dule

3)

* “Y”

is th

e nu

mbe

r of y

ears

of a

sses

smen

t for

whi

ch th

e fo

rest

allo

wanc

es w

ere

give

n to

the

busin

ess.

H

K-1

.2.2

:

FO

RE

ST

ALL

OW

AN

CE

S

Date

of

expe

nditu

rein

curre

d

Date

of

disp

osal

Year

of

Asse

ssm

ent

Rate %

Resid

ual

expe

nditu

reb/

f

Fore

stal

lowa

nce

Resid

ual

expe

nditu

rec/

f

Fore

stch

arge


FOREST ALLOWANCE INDEX

C1 Expenditure for the purpose of a business whichconsists wholly or partly of the extraction of timberfrom the forest :

a. Road Paragraph 8(1)(a) 10 Paragraph 30(b)b. Building

C2 Expenditure for the welfare of persons employed inor in connection with the extraction of timber fromthe forest :

a. Building Paragraph 8(1)(b) 20 Paragraph 30(a)b. Living accomodation

Class Type Of AssetReference

(Schedule 3)

Annual Allowance

Rate (%)

Reference(Schedule 3)


A B

Forest ForestCharge Allowance

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4

ATTACHMENT 5

TOTAL

HK-1.2.2A: SUMMARY OF FOREST ALLOWANCES

(Transfer this amount (Transfer this amount to item A2, HK-1.2) to item C2, HK-1.2)

Name

Tax Reference No.

Year Of Assessment


HK-1.2.3

Year

Of A

sses

smen

t

Nam

e

Tax R

efer

ence

No.

A

B

C

D

EF

GH

JK

LM

N

Item

HK

-1.2

.3:

IN

DU

STR

IAL

BU

ILD

ING

ALL

OW

AN

CE

S

1 2 3 4 5 6 7 8 9 10 11TO

TAL

12BA

LANC

ING

CHAR

GE(11

M)(T

rans

fer t

his

amou

nt to

HK

-1.2

.3A

)

13BA

LANC

ING

ALLO

WAN

CE(11

N)(T

rans

fer t

his

amou

nt to

HK

-1.2

.3A

)

14IN

DUST

RIAL

BUI

LDIN

G AL

LOW

ANCE

(11

H + 1

1J)

(Tra

nsfe

r thi

s am

ount

to H

K-1

.2.3

A)

Da

te o

f

Yea

r of

R

ate

d

ispo

sal

ass

essm

ent

%

Cost

Resid

ual

expe

nditu

reb/

f

Resid

ual

Initi

alAn

nual

expe

nditu

reDi

spos

alBa

lanc

ing

Bala

ncin

gal

lowa

nce

allo

wanc

ec/

fva

lue

char

geal

lowa

nce

Date

of

purc

hase

/co

mpl

etio

n of

cons

truct

ion

Clas

s


D1 Common Industrial Bulidings: Paragraph 63 & 64a Factoryb Dock, wharf, jetty or other similar buildingc Warehouse (with factory)d Supply of water, electricity and

telecommunication servicese Agriculturef Miningg Canteen, rest-room, recreation room, lavatory, Paragraph 65

bathhouse, bathroom or wash-room (withindustrial building) 1 0 Paragraph 12 3 Paragraph 16

h Building for the welfare or living accomodationof persons employed in the working of a farm

i Private hospital Paragraph 37A

j Nursing homek Maternity homel Building for the purpose of approved research Paragraph 37B

m Building for use in approved service project Paragraph 37E

under Schedule 7B

n Hotel registered with the Ministry of Tourism Paragraph 37F

o Airport Paragraph 37G

p Approved motor racing circuit Paragraph 37H

q Public road and ancillary structures on which Paragraph 67A 1 0 Paragraph 12 6 P.U. (A) 87/1986expenditure is recoverable through tollcollection

r Old folks care centre P.U. (A) 143/2003 NIL P.U. (A) 143/2003 1 0 P.U. (A) 143/2003D2 Other Industrial Buildingsa Warehouse for purpose of storage of goods for Paragraph 37C NIL Paragraph 37C 1 0 Paragraph 37C

export or imported goods to be processed anddistributed or re-exported

b Living accomodation for individuals employedin the following businesses: Paragraph 42A(1) NIL Paragraph 42A(1) 1 0 Paragraph 42A(1)– Manufacturing– Hotel– Tourism– Approved service project

c Child care facilities Paragraph 42A(2) NIL Paragraph 42A(1) 1 0 Paragraph 42A(2)d Building for:

– School Paragraph 42B NIL Paragraph 42B 1 0 Paragraph 42B

– Approved educational institutione Building for the purpose of approved:

– Industrial training Paragraph 42C NIL Paragraph 42C 1 0 Paragraph 42C– Technical training– Vocational training

D3 Building constructed for use as living Paragraph 42(1) 4 0 Paragraph 42(1) 3 Paragraph 16accomodation of employed individuals (withindustrial building)

D4 Building constructed under an approved build- Paragraph 67B 1 0 Paragraph12 6 Paragraph 16Alease-transfer agreement with the Government

D5 Building constructed or purchased for use by an P.U.(A) 202/2006 & NIL P.U.(A) 202/2006 & 1 0 P.U.(A) 202/2006 &approved Multimedia Super Corridor (MSC) P.U.(A) 317/2006 P.U.(A) 317/2006 P.U.(A) 317/2006status company

Type of Industrial BuildingReference

[Schedule 3and P.U.(A)]

Initial Allowance Annual AllowanceRate(%)

Rate(%)

Reference[Schedule 3 & P.U.(A)]

Reference[Schedule 3 & P.U.(A)]

INDUSTRIAL BUILDING ALLOWANCE INDEX

Class


A B C

Balancing Balancing IndustrialCharge Allowance Building

Allowance

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4

ATTACHMENT 5

TOTAL

HK-1.2.3A : SUMMARY OF INDUSTRIAL BUILDING ALLOWANCES

(Transfer this amount (Transfer this amount (Transfer this amount to item A3, HK-1.2) to item B1, HK-1.2) to item C3, HK-1.2)

Name

Tax Reference No.

Year Of Assessment


HK-1.2.4

Note

:Ba

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1 2 3 4 5 6 7 8 9 10 11TO

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efer

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Inst

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E1 Heavy machinery/Motor vehicle: a. General 20 Paragraph 10 20 P.U.(A)52/2000b. Building and construction industry 30 P.U.(A)294/1998 20 P.U.(A)52/2000 c. Timber industry 60 P.U.(A)294/1998 20 P.U.(A)52/2000 d. Tin mining industry 60 P.U.(A)294/1998 20 P.U.(A)52/2000 e. Imported heavy machinery 10 P.U.(A)474/1997 10 P.U.(A)474/1997 f. Heavy machinery/Motor vehicle subject to

provisions under paragraphs 2A and 2C Schedule 3 NIL Paragraph 13A 20 P.U(A)52/2000

E2 Plant and machinery: a. General 20 Paragraph 10 14 P.U.(A)52/2000 b. Building and construction industry 30 P.U.(A)294/1998 14 P.U.(A)52/2000 c. Timber industry 60 P.U.(A)294/1998 14 P.U.(A)52/2000 d. Tin mining industry 60 P.U.(A)294/1998 14 P.U.(A)52/2000 e. Plant and machinery subject to provisions under

paragraphs 2A and 2C Schedule 3 NIL Paragraph 13A 14 P.U.(A)52/2000

E3 Others: a. General 20 Paragraph 10 10 P.U.(A)52/2000 b. Building and construction industry 30 P.U.(A)294/1998 10 P.U.(A)52/2000 c. Timber industry 60 P.U.(A)294/1998 10 P.U.(A)52/2000 d. Tin mining industry 60 P.U.(A)294/1998 10 P.U.(A)52/2000 e. Others subject to provisions under paragraphs

2A and 2C Schedule 3 NIL Paragraph 13A 10 P.U.(A)52/2000

E4 Special / Specific purpose plant and machinery/equipment for:

a. Storage, treatment and disposal of scheduled wastes; 40 P.U.(A) 339/1995; 20 P.U.(A) 339/1995;and recycling of wastes 40 and P.U.(A) 505/2000 20 and P.U.(A) 505/2000

b. Natural gas refuelling 40 P.U.(A) 265/1997 20 P.U.(A) 265/1997 c. Control of wastes and pollution of environment 40 P.U.(A) 295/1998 20 P.U.(A) 295/1998 d. Conservation of energy 40 P.U.(A) 349/2003 and 20 P.U.(A) 349/2003 and

P.U.(A) 64/2006 P.U.(A) 64/2006 e. Special plant and machinery subject to provisions

under paragraphs 2A and 2C Schedule 3 NIL Paragraph 13A 20 P.U.(A) 52/2000f Purposes of a qualifying project under Schedule 7A 40 P.U.(A) 506/2000 20 P.U.(A) 506/2000g Controlling the quality of electric power 20 P.U.(A) 87/2005 40 P.U.(A) 87/2005h Generating energy using renewable energy 20 P.U.(A) 88/2005 and 80 P.U.(A) 88/2005 and

resources P.U.(A) 115/2005 P.U.(A) 115/2005i Mould for the production of industrialised building

system component 40 P.U.(A) 249/2006 20 P.U.(A) 249/2006

E5 Computer and ICT equipment: a. Computers and information technology equipment 20 Paragraph 10 40 P.U.(A) 187/1998 b. Cost of provision of computer software 20 Paragraph 10 40 P.U.(A) 272/1999

E6 Small value assets Paragraph 19A

Note: 1. Heavy machinery – Bulldozers, cranes, ditchers, excavators, graders, loaders, rippers, rollers, rooters, scrappers,shovels, tractors, vibrator wagons and so on.

2. Motor vehicles – All types of motorized vehicles such as motorcycles, aeroplanes, ships and so forth.3. Plant and machinery – General plant and machinery not included under heavy machinery such as air conditioners,

compressors, lifts, laboratory and medical equipment, ovens and so forth.4. Others - Office equipment, furniture and fittings.

Rate(%)

Rate(%)

Reference[Schedule 3 and P.U.(A)]

Reference[Schedule 3 and P.U.(A)]

Class Type of AssetInitial Allowance Annual Allowance

PLANT AND MACHINERY ALLOWANCE INDEX


A B C

Balancing Balancing CapitalCharge Allowance Allowance

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4

ATTACHMENT 5

TOTAL

HK-1.2.4A : SUMMARY OF PLANT AND MACHINERY ALLOWANCES

(Transfer this amount (Transfer this amount (Transfer this amountto item A4, HK-1.2) to item B2, HK-1.2) to item C4, HK-1.2)

Name

Tax Reference No.

Year Of Assessment


No. Class Of Asset Description Of Asset Date Of Purchase Date Of Disposal Method Of Payment

HK-1.2A : SUMMARY OF CAPITAL EXPENDITURE

Name

Tax Reference No.

Year Of Assessment


A. Previous years’ losses brought forward

LESS :

B. Previous years’ losses absorbed by current year’s aggregatestatutory income from business and partnership

C. Balance from previous years’ losses not absorbed (A - B)

D. Current year losses :

1. Business(Amount from item H, HK-1/HK-1C/HK-1D)

2. Partnership(Amount from items A13 and A19 of the CP 30)

3. TOTAL (D1 + D2)

LESS :

E. Losses absorbed by current year’s aggregate income

F. Balance from current year losses not absorbed (D3 - E)

G. Losses carried forward (C + F)

HK-1.3 : ADJUSTMENT OF LOSSES FOR BUSINESS AND PARTNERSHIP

Enter “X” in the relevant boxBusiness

1 2 3 4 5Year Of Assessment

Name



A. Losses brought forward

ADD:

B. Current year’s adjusted loss

C. TOTAL ( A + B )

LESS:

D. Losses absorbed

E. Losses carried forward ( C - D )

HK-1.4 : ADJUSTMENT OF LOSSES FOR PIONEER BUSINESS

Year Of Assessment Enter ‘X’ in the relevant box.

Business 1 2 3 4 5

Name





Item Amount

A. Receipts under paragraph 13(1)(a):

1. Money/Benefits or amenities convertible into money

2. Gratuity

3. Tax allowance/Tax borne by the employer

4. TOTAL (A1 to A4)

B. Benefits-in-kind (BIK) [paragraph 13(1)(b)]

C. Value of living accomodation benefit [paragraph 13(1)(c)]

D. Refund from unapproved Pension or Provident Fund, Schemeor Society [paragraph 13(1)(d)](amount attributable to employer’s contribution only)

E. Compensation for loss of employment [paragraph 13(1)(e)]

F. TOTAL GROSS EMPLOYMENT INCOME (A to E)

LESS:

G. Subscriptions to professional bodies

H. Entertainment expenditure(restricted—section 38A)

J. Travelling expenditure

HK-2 : COMPUTATION OF STATUTORY INCOME FROM EMPLOYMENT

Enter ‘X’ in the relevant boxEmployment

1 2 3 4 5Year Of Assessment

Name




K. Expenditure related to the living accomodation provided by the employer

1. Benefit of living accomodation taken into account:

(a) Value of benefits/amenities related to theliving accomodation provided[amount as per total of item B Working Sheet HK-2.4 – subsection 32(1)]

(b) Value of living accomodation benefit[amount as per item C – subsection 32(2)]

(c) TOTAL [K1(a) + K1(b)]

2. Rental of living accomodation and furniture paidby the employee [paragraph 38(1)(a)]

3. Quit rent, assessment, insurance premiumsand repairs/maintenance of the premise[paragraph 38(1)(b)]

4. TOTAL PAYMENT (K2 + K3)

5. Deductible expenditure:K1(c) or K4 whichever is lower[subsection 38(3)]

L. TOTAL (G, H, J and K5)

M. Statutory Income from Employment (F - L)

N. SUMMARY OF STATUTORY INCOME FROM EMPLOYMENT

1. Employment 1 (amount M from Employment 1)



4. TOTAL


Item Amount (RM)

A. Gross salary/remuneration

B. Wages

C. Leave pay

D. Overtime pay

E. Fees

F. Commissions

G. Bonuses

H. Gross tips

J. Perquisites (cash/in kind)Less:Exemption limited to RM1,000in amount/value in respect of:-1. past achievement award2. service excellence award3. long service * award

( * more than 10 years service with same employer)

4. Subtotal ( J1 + J2 + J3 ) (restricted to RM1,000)

TOTAL ( J - J4 )

K. Awards/Rewards

L. Allowances

M. Household telephone bills paid by the employer(telephone subscribed by the employee)

N. Recreational club membership(type of membership - individual):- entrance fee- monthly/annual membership

subscription fees for club membership; and- term membershippaid/reimbursed by the employer

P. Other receipts

Q. TOTAL ( A to P )(Transfer this amount to item A1 Working Sheet HK-2)

Year of Assessment

MONEY / BENEFITS OR AMENITIES CONVERTIBLE INTO MONEY

HK-2.1: RECEIPTS UNDER PARAGRAPH 13(1)(a)

Name

Tax ReferenceNo.

I/C No.


HK-2.2 : COMPUTATION OF TAXABLE GRATUITY

A. Total gratuity RM

B. Date of payment

C. Length of continuousservice

D. Basis of apportionment :

1. Method 1Apportionment according to time basisNo. of complete days (D1)= days

2. Method 2Divided into 6 (six) years

E. Apportionment of gratuity according to Year of Assessment

1 2 3 4 5

Apportionment Period Computation Amount Year Of(days/years) RM Assessment

(i) Year Method 1 : A x E2/D1 (In Days)ORMethod 2 : A x E2/6 (In Years)

(ii) Year as above

(iii) Year as above

(iv) Year as above

(v) Year as above

(vi) Current year as above

F. Transfer the amount from item E4(vi) for the current year of assessment to item A2 Working Sheet HK-2.

Year Of Assessment

( * Enter “X” in the relevant box )

Day Month Year– –

toDay Month Year

– –Day Month Year

– – = year(s) month(s)

*

*

Name



HK-2.3 : COMPUTATION OF TAX ALLOWANCE

A. Year Of Assessment

B. Preceding Year Of Assessment

C. Tax Allowance

No. Year Of Assessment Date Of Notice Of Assessment Amount Of Tax/Additional Tax (RM)

1

2

3

4

5

6

7 Total [ C1 to C6 ]

(Transfer amount C7 to item A3 Working Sheet HK-2)

Reminder :

1. Tax allowance is an income chargeable on the employee who receives the benefit of tax borne/paid by his employer.

2. This benefit is a type of income under paragraph 13(1)(a) ITA 1967.

3. Tax for the preceding year of assessment indicated in item B is to be taken into account as a benefit for the year ofassessment indicated in item A, even if the tax has not been paid by the employer.

4. Additional tax is taken into account as a tax allowance if the notice of assessment is issued in the basis period for the yearof assessment indicated in item A, even though the tax has not yet been paid by the employer.

5. Use the boxes in item C to compute the total of all tax allowances which shall be taken into account for the current year ofassessment indicated in item A.

Use row C1 for the year of assessment indicated in item B.

Use rows C2 to C6 for additional taxes of preceding years of assessment raised in the basis period for the year ofassessment indicated in item A. Use one row for each year of assessment.

Name



HK-2.4 : BENEFITS-IN-KIND (BIK) [PARAGRAPH 13(1)(b)]

Item Amount

A. Motorcars

(1) Value of motorcars and petrol

(2) Value of driver

B. Value of household benefits

(1) Semi-furnished with furniture in the lounge, dining room, orbedrooms

(2) Semi-furnished with furniture as in item B(1) and oneor more of air-conditioners, curtains and alike; and carpets

(3) Fully-furnished with benefits as in items B(1) and (2) plusone or more of kitchen equipment, crockery, utensils andappliances

(4) Service charges and other bills such as water and electricity

C. Mobile phones: Hardware

Bills

D. Household telephone bills (telephone subscribed by the employer)

E. Gardeners

F. Household servants

G. Monthly/Annual recreational club membership subscriptionfees for club membership (type of membership: corporate)

H. Leave passages

J. Other benefits:

K. TOTAL ( A to J )(Transfer this amount to item B Working Sheet HK-2)

Year Of Assessment

BENEFITS-IN-KIND (BIK)

Name



HK-2.5 : VALUE OF LIVING ACCOMODATION BENEFIT [PARAGRAPH 13(1)(c)]

A. JOB STATUS *

1. Employee (other than officer of a government/statutory body) or service director

2. Director of a controlled company

B. TYPE OF LIVING ACCOMODATION *

1. Ordinary residential premise

2. Hotel, hostel or similar premise;any premise on a plantation or in the forest; orany premise which, although in a rateable area, is not subjectto public rates such.

C. SHARE OF LIVING ACCOMODATION *

1. Not shared

2. Shared Share of living accomodation (X) (Y)

3. Partly used for advancingthe interests of the employer Share of living accomodation (X) (Y)

‘X’ is your share of the living accomodation provided.‘Y’ is the living accomodation provided as a whole.

* Enter ‘X’ in the relevant box.

D. Period for which the living accomodation is provided (n) Month(s)

E. Length of employment in the current year (m) Month(s)

F. Defined value ( rental per month x m ) RM

G. Receipts under paragraph 13(1)(a) RM(amount from item A4 Working Sheet HK-2)

H. 1. 30% of G ( G x 30/100 ) for item A2. RM

2. 3% of G ( G x 3/100 ) for item A1. RM

Year Of Assessment

Name



J. VALUE OF LIVING ACCOMODATION BENEFIT SUBJECT TO TAX


An employee (other than officer of a government/statutory body) or a service director provided with livingaccomodation of type B2

Amount H2 x n/m Value of living accomodation benefit Z

(Transfer the amount from item Z to item C Working Sheet HK-2) (Enter ‘0’ if value is negative)


An employee (other than officer of a government/statutory body) or a service director provided with:

2.1 Living accomodation of type B1 and the share of living accomodation is C1.

Amount H1 or F (whichever is lower) x n/m Value of living accomodation benefit Z



Amount H1 or F x X/Y (whichever is lower) x n/m Value of living accomodation benefit Z



Amount H1 or F x X/Y (whichever is lower) x n/m Value of living accomodation benefit Z


3. Director of a controlled company

A director of a controlled company provided with:


Amount F x n/m Value of living accomodation benefit Z


3.2 Living acomodation of type B1 and the share of living accomodation is C2.

Amount F x X/Y x n/m Value of living accomodation benefit Z



HK-2.6 : REFUND FROM UNAPPROVED PENSION OR PROVIDENT FUND, SCHEME OR SOCIETY

The amount to be taken into account shall be as reported by the employer in the Form EA / EC.

The amount subject to tax is the sum received by the employee from the employer’s contribution.

The amount received is from an unapproved pension or provident fund, scheme or society.

RM

A. Employer’s contribution

B. Employee’s contribution

C. TOTAL ( A + B )

Transfer amount A to item D Working Sheet HK-2

Year Of Assessment

Name



HK-2.7 : COMPUTATION OF TAXABLE COMPENSATION

A. Length of service with the same employer or companies in the same group

1. Date of commencement

2. Date of cessation

3. No. of completed years of service * Year(s)

B. Amount of compensation RM

C. Amount of exempted compensation RM6,000 x A3 =

D. Taxable compensation (B - C)(Transfer amount D to item E Working Sheet HK-2)

* Examples on computation of completed years:

Example 1:

Date of commencement 01.07.2003Date of cessation 31.12.2007Length of service 4 years 6 monthsNo. of completed years 04 years

Example 2:

Date of commencement 01.06.1998Date of cessation 15.01.2007Length of service 8 years 7 months 15 daysNo. of completed years 08 years

Year Of Assessment

Name



A. List of dividend income:

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

RM sen RM sen RM sen

TOTAL NET DIVIDEND

Note: Proceed with the computation overleaf if the rate of tax deducted on dividend received as per voucher/certificate differs from the tax rate for current year of assessment

Total Regrossed

X Y

Name


Year of Assessment

HK-3: TAX DEDUCTION UNDER SECTION 110 (DIVIDENDS)

Date ofPayment

Warrant No./Serial No.No. Name of Company

Gross Dividend Tax Deducted Net Dividend

Submit this Working Sheet and original dividend vouchers if entitled to a tax refund(Use separate HK-3 for dividends regrossed)


C. Computation of statutory income from dividends

(i) Gross dividend (X)

Less:

(ii) Interest on loan employed in theproduction of gross dividend income

(iii) Statutory Income

D. Section 110 tax deduction (dividends)(as per amount Y above)

B. Computation of regrossed dividend and tax deemed deducted

If the rate of tax deducted as per dividend voucher/certificate differs from the current year’s tax rate forcorporations, please use the following formula to regross the net dividend received and compute the taxdeemed deducted:-

(i) Dividend regrossed (X)

= Net dividend

= (X)

Enter the amount of regrossed dividend in column ‘X’ under ‘Gross Dividend’.

(ii) Tax deemed deducted (Y)

= X

= (Y)

* Where Z is the current year’s tax rate for corporations.

1 ( 1 - Z * )

Z *Z *Z *Z *Z *x

x

Example of dividend regrossed:

Details of dividend voucher:

VOUCHER NO. DIVIDEND NO. TYPE OF DIVIDEND FOR YEAR ENDED FOR SHARESREGISTERED ON DATE OF PAYMENT

FOURTH INTERIM6712345 30 JUNE 2007 23 AUGUST 2007 1 SEPTEMBER 2007

SHAREHOLDING GROSSDIVIDEND RATE

INCOMETAX RATE

GROSS DIVIDEND(RM)

INCOME TAX(RM)

NET DIVIDEND(RM)

27%16%5000 800.00 216.00 584.00

Year ended - 30/06/2007Date of payment of dividend - 01/09/2007Basis period of company which paid the dividend - 01/07/2007 - 30/06/2008The date of payment of dividend ie. 01/09/2007 falls within the basis period 01/07/2007 - 30/06/2008 which isyear of assessment 2008 whereby the tax rate for corporations is 26%. As the tax deducted from the dividend isat the rate of 27%, therefore the dividend has to be regrossed using the rate of 26%.

Computation of regrossed dividend and tax deemed deducted:(i) Dividend regrossed (X)

= 584 x

= 789.19 * * Amount to be entered in the return form as Statutory Income from Dividendsis RM789 (sen not taken into account)

(ii) Tax deemed deducted (Y)

= 789.19 x 26%= 205.19

1 ( 1 - 0.26 )


HK-4 : PARTICULARS OF PROPERTIES / ASSETS AND TOTAL RENTAL

A. LIST OF PROPERTIES RENTED / ASSETS LEASED

1

2

3

4

5

6

7

8

9

10

Note : 1. Properties refer to houses, factories, land and other immovable properties.

2. Assets refer to plant, machineries, furniture and other than those mentioned above.

No. Type Of Property/Asset Address Of The Property/Lessor Of The Asset

Date OfCommencement OfThe Rental / Lease

Year Of Assessment

Total Gross Rental / LeasePayments Received In TheYear Of Assessment (RM)

Name




B. COMPUTATION OF STATUTORY INCOME FROM RENTS(Compute separately for each source of rental income)

1. GROSS RENTAL INCOME (From item A1 or A2 or A3 .... A10)

LESS : Allowable Expenditure

(i) Interest on loan employedin the production of grossrental income

(ii) Assessment

(iii) Quit rent

(iv) Insurance

Other revenue expenditure:

(v) Repairs and maintenance

(vi) Renewal of tenancy agreement

.........................................................

.........................................................

.........................................................

.........................................................

.........................................................

.........................................................

.........................................................

.........................................................

.........................................................

2. Total Expenditure (i to vi)

C. STATUTORY INCOME FROM RENTS (B1 - B2)

D. SUMMARY OF STATUTORY INCOME FROM RENTS

Source 1 (Amount from item C)




Total statutory income from rents includingrents received from partnership businesses

.........................................................

HK-5 : COMPUTATION OF STATUTORY INCOME FROM INTEREST / ROYALTIES

INTEREST

A. Gross Interest

LESS :

B. Interest on loan employed in the productionof gross income from interest

C. Statutory Income ( A - B )

D. Total Gross Income from Interest(Amount from item C Working Sheet HK-6 /item D Working Sheet HK-8/HK-9)

E. TOTAL STATUTORY INCOME FROM INTEREST ( C + D )

ROYALTIES

F. Gross Royalty

G. Total Gross Income from Royalties(Amount from item D Working Sheet HK-6 /item E Working Sheet HK-8/HK-9)

H. TOTAL STATUTORY INCOME FROM ROYALTIES ( F + G )

RM

Year of Assessment


Name




HK-6 : TAX DEDUCTION UNDER SECTION 110 (OTHERS)

No. *Code Name Of Payer/ Gross Tax Deducted Date Of ReceiptTrust Body Income (RM) RM cents Payment No.

Year Of Assessment

(Z)

1

10

9

8

7

6

5

4

3

2

TOTAL

B. Total tax deducted/credit claimed under section 110

C. Total gross income from interest (income code = 3)

D. Total gross income from royalties (income code = 5)

E. Total gross income under section 4A (income code = 6)

F. Total income from trust bodies (income code = 7)

G. Total gross income from other sources (income code = 8)

A. List out : interest/royalty income subject to the provision under section 109;payments subject to the provision under section 109B ITA 1967;income from trust bodies as per CP 30A and other relevant income.

(note: - Income Code : 3 = interest, 5 = royalties, 6 = section 4A income,7 = income from trust body,8 = other relevant income.)

(Z)

Name



A. List of Income(note: *Income code: 1 = business, 2 = dividend, 3 = interest, 5 = royalty, 6 = section 4A income

7 = income from trust body, 8 = other relevant income)

12

3

4

5

6

7

8

9

10

(X) (Y)

HK-8: INCOME FROM COUNTRIES WHICH HAVE AVOIDANCE OF DOUBLE TAXATION AGREEMENT WITH MALAYSIA AND CLAIM FOR SECTION 132 TAX RELIEF

Year Of Assessment

The relief due is amount Y or amount U, where amount U is computed using the following formula:

B. Relief claimed (U or Y whichever is the lower)

C. Total gross dividends (income code = 2)

D. Total gross interest (income code = 3)

E. Total gross royalty (income code = 5)

F. Total gross income under section 4A (income code = 6)

G. Total income from trust bodies (income code = 7)

H. Total gross income from other sources (income code = 8)

NOTE: 1. Use the exchange rate provided in Appendix C if there is no other rate of exchange at the time theincome was first received or credited.

2. Submit this Working Sheet together with documents pertaining to the foreign tax deducted if entitled toa tax refund.

Total income from all sourcesTax chargeable before

set off or reliefx

Total X= U

No. *Code Gross Amount Tax Deducted In TheForeign Country

Total

Name




Helaian Kerja ms - 54

Y/2=(Z)

A. List of Income(note: *Income code: 1 = business, 2 = dividend, 3 = interest, 5 = royalty, 6 = section 4A income

7 = income from trust body, 8 = other relevant income which is applicable)

1

2

3

4

5

6

7

8

9

10

(X) (Y)

The relief due is amount Z or amount U, where amount U is computed using the following formula:

B. Relief claimed (U or Z whichever is the lower)

C. Total gross dividend (income code = 2)

D. Total gross interest (income code = 3)

E. Total gross royalty (income code = 5)

F. Total gross income under section 4A (income code = 6)

G. Total income from trust bodies (income code = 7)

H. Total gross income from other sources (income code = 8)

NOTE: 1. Use the exchange rate provided in Appendix C if there is no other rate of exchange at the time theincome was fist received or credited.

2. Submit this Working Sheet together with documents pertaining to the foreign tax deducted if entitled toa tax refund.

No. *Code Gross Amount Tax Deducted In TheForeign Country

Total

Name



HK-9: INCOME FROM COUNTRIES WITHOUT AVOIDANCE OF DOUBLE TAXATION AGREEMENT WITH MALAYSIA AND CLAIM FOR SECTION 133 TAX RELIEF

Total income from all sourcesTax chargeable before

set off or reliefx

Total X= U

Year Of Assessment


A. Deductions made by the employer in the current year

No. Employer’s E No. CP38 DeductionsPeriod

Of Deduction

i E

ii E

iii E

iv E

v E

TOTAL

1 2 3 4 5

C. Instalments paid in respect of CP500 or CP503

D. Payments made for the current year other than A, B and C

E. TOTAL ( A3 + C + D )

Schedular TaxDeductions [STD]

Deductions ForZakat

Year Of Assessment

B. Schedular Tax Deductions made by the employer in the current year in respect of previous years’income

No. Employer’s E No.Year/PeriodOf Income

i E

ii E

iii E

iv E

v E

TOTAL

1 2 3

Schedular TaxDeductions [STD]

[Use attachments in case of insufficient writing space]

HK-10 : INSTALMENTS / SCHEDULAR TAX DEDUCTIONS PAID

Name



HK-11 : BASIS YEAR PAYMENTS TO NON-RESIDENTS (WITHHOLDING TAX)

No. Receipt Date Of Gross Withholding Tax Withholding Tax NetNo. Payment Amount Remitted To Remitted To Amount

Paid LHDNM LHDNM Paid[for paragraph107A(1)(b) only

(3%)]

1

2

3

4

5

6

7

8

9

10

11

12

TOTAL

Year Of Assessment

Enter “X” in the relevant box. Choose one only. Use separate working sheet for each type of withholding tax.

PAYMENTS MADE IN THE BASIS YEAR TO NON-RESIDENTS UNDER THE WITHHOLDING TAX PROVISIONOF SECTION :

107A ITA 1967 (NON-RESIDENT CONTRACTORS)

109 ITA 1967 (INTEREST AND ROYALTIES)

109A ITA 1967 (PUBLIC ENTERTAINERS)

109B ITA 1967 (SECTION 4A INCOME)

109D ITA 1967 (INCOME FROM UNIT TRUSTS)


Name




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NOTE:

CHILD RELIEF (only one type of relief can be claimed on each child)

100% Eligibility - Deduction is wholly allowed to the individual entitled to claim full child relief in respectof the child on whom the claim is made.

50% Eligibility - Where two or more individuals (not husband and wife living together eg. divorcedparents and foster parents) are each entitled to claim a deduction for payments madein respect of the same child, the deduction allowed to each of those individuals is 50%of the allowable deduction.

Subsection 48(4)

CHILD - BELOW AGE OF 18 YEARSRelief of RM1,000 is given in respect of each unmarried child who at any time in the current yearis below the age of 18 years.Paragraphs 48(1)(a) and 48(2)(a)

CHILD - 18 YEARS & ABOVE; AND RECEIVING EDUCATIONRelief for each unmarried child of age 18 years and above who is receiving full-timeinstruction is RM1,000.Paragraphs 48(1)(b) and 48(2)(a)

Relief of RM4,000 for each unmarried child over the age of 18 years who is receiving full-time instruction at a university, college or other similar establishment of higher education(excluding matriculation and pre-university level) ; or is serving under articles or indentureswith a view to qualifying in a trade or profession, is given provided:(i) in Malaysia - the child is pursuing a course in respect of an award of

diploma or higher(ii) outside Malaysia - the child is pursuing a course in respect of an award of

degree (including a degree at Master or Doctorate level) or theequivalent of a degree

(iii) the instruction and educational establishment is approved by the relevant governmentauthority.

Subparagraph 48(3)(a)(i)

CHILD - DISABLEDRelief of RM5,000 is given in respect of each unmarried physically/mentally disabled childregardless of age and whether the child is receiving full-time instruction.Paragraphs 48(1)(d) and 48(2)(b)

Additional relief of RM4,000 for each unmarried child over the age of 18 years who is receivingfull-time instruction at a university, college or other similar establishment of highereducation (excluding matriculation and pre-university level); or is serving under articlesor indentures with a view to qualifying in a trade or profession, is given provided:(i) in Malaysia - the child is pursuing a course in respect of an award of

diploma or higher(ii) outside Malaysia - the child is pursuing a course in respect of an award of

degree (including a degree at Master or Doctorate level) or theequivalent of a degree

(iii) the instruction and educational establishment is approved by the relevant governmentauthority.

* The individual is entitled to claim RM9,000 as deduction for child if the aboveconditions are met.

Subparagraph 48(3)(a)(ii)


HK-14 : LIFE INSURANCE PREMIUMS / CONTRIBUTIONS TOAPPROVED PROVIDENT OR PENSION FUND,

EDUCATION AND MEDICAL INSURANCE

No.

A. LIFE INSURANCE / PROVIDENT AND PENSION FUND

TOTAL ( 1 to 10 )

No.

B. EDUCATION AND MEDICAL INSURANCE

TOTAL ( 1 to 10 )

Name ofInsurance Company

Name ofInsurance Company /

Provident and Pension Fund

Policy No.

Policy No. /Provident Fund No.

On Own Life orLife of Husband /

Wife / Wives

On Self orHusband / Wife

or Child

Premiums Paid in theCurrent Year (RM)

Contributions /Premiums Paid in

the Current Year (RM)


Name


Year of Assessment

1

2

3

4

5

6

7

8

9

10

1

2

3

4

5

6

7

8

9

10

A. LIFE INSURANCE AND EPFDeduction is allowed for payment of premiums on life insurance policy or deferredannuity contracted on own life, life of spouse(s) or joint lives of ownself andspouse(s). However, deduction is not allowable on premiums paid on life insurancepolicy or deferred annuity contracted for by the individual on the life of his child.

Contribution to the Employees Provident Fund (EPF) or other provident fund/pension scheme approved by the Director General.

With effect from Year of Assessment 2005, the total deduction allowable for lifeinsurance premiums and contributions to EPF or other approved provident fund/pension scheme is restricted to RM6,000 for an individual and RM6,000 for thespouse who has total income. If the husband or wife elects for joint assessment,the deduction for life insurance premiums and EPF contribution is restricted toRM6,000.Paragraphs 49(1)(a), 49(1)(b), 49(1)(c) and subsection 49(1A)

B. EDUCATION AND MEDICAL INSURANCEDeduction for premiums paid in respect of insurance on education or medical benefitsfor an individual, spouse or child shall not exceed RM3,000.Subsection 49(1B)

NOTE:



Appendix page - 1

APPENDIX A1

1. Gross Business Income

Legal Provision Subject Matter

12 Gross business income derived from Malaysia.

22(2)(a)(i) Sums receivable or deemed to have been received by way of insurance, indemnity, recoupment,recovery, reimbursement or otherwise in respect of outgoings and expenses deductible in ascertainingthe adjusted income.

22(2)(a)(ii) Sums receivable or deemed to have been received under a contract of indemnity.

22(2)(b) Compensation for loss of income from that source.

24(1) Credit sales.

24(2) Market value of the stock in trade at the time of its withdrawal for personal use.

30(1)(a) Recovered bad debts.

30(1)(b) Specific provision for doubtful debts no longer required.

30(4) Debts discharged under subsection 33(1) [ including paragraphs 33(1)(a), (b) or (c)].

– Income other than the above.

2. Allowable Expenses

Legal Provision Subject Matter

33(1) Outgoings and expenses wholly and exclusively incurred in the production of gross income.

33(1)(a) Interest on any money borrowed and employed in the production of gross income; or laid out on assetsused or held for the production of gross income from that source, but restricted in accordance withsubsection 33(2).

33(1)(b) Rent payable in respect of any land or building or part thereof occupied for the purpose of producinggross income from that source.

33(1)(c) Expenses incurred for the repair of premises, plant, machinery or fixtures employed in the productionof gross income from that source.Other expenses include :

the renewal, repair or alteration of any implement, utensil or article so employed, which do notqualify for capital allowance,

any means of conveyance.

34(6)(a)/(b) Amount of payroll tax/turnover tax paid.

34(6)(d) Expenses incurred in the replanting of crops (in connection with the working of a farm/estate relating tothe cultivation of crops).


Appendix page - 2

APPENDIX A1.1 : REMINDER

Please take note of the following requirements when computing any adjustment. Documents, records and other written evidencemust be properly kept as the onus-of-proof is on the individual who makes the claim/adjustment. Any claim/adjustment not supportedby sufficient documentation shall be disallowed in the event of a tax audit dan penalty may be imposed.

The following are the required information and documents which must be made available and retained with any adjustment and taxcomputation.

1. Adjustment of income and expenses

Adjustments must be supported by :

An analysis of income and expenditure

Subsidiary accounts

Receipts/Invoices

2. Contract/Subcontract payments, commission, rents and other contract payments for services to residents :Name, address, identity card number and amount paid in respect of each recipient

Type of contract/commission/service

Type of asset leased

3. Contract payments to non-residents (receipts by non-resident contractors - section 107A applies) :

Name, type, location and duration of project

Value of the whole contract and value of the service portion of the contract

Contract payments and payments for the service portion of the contract in the current year of assessment

Name, address, tax reference number and passport number of the foreign contractor

4. Payment of management fees to residents :

Name, address, identity card number and amount paid

Relationship with the recipient, if any

Basis of payment

Service agreement or other relevant documents

5. Payment of professional, technical or management fees and rents to non-residents (section 4A income) :

a) Payments of professional, technical or management fees

Name, address and amount paid

Type of services rendered

Furnish reasons if the whole or part of the payment is not considered as a section 4A income and keep a copy of theagreement for future examination.

b) Payments for rental of movable properties

Type of movable property

Name, address and amount paid in respect of each recipient

If the payment is not subjected to withholding tax, retain the relevant supporting documents and rental agreement, ifany.


Appendix page - 3

6. Overseas trips :Name and designation of each employee concernedDates, destinations and purpose of tripsAnalysis of expenditure indicating the portion of private expenses

7. Public Rulings, Government Gazettes, guidelines and application forms for incentive claims :Director General’s Public Rulings (Refer to Appendix H)

Application for an approved research project and claim for double deduction on research expenditureunder section 34A ITA 1967Director General’s Public Ruling : Public Ruling No. 5/2004 (issued on 31/12/2004)Reference no. of application form : Borang 1 (Sek 34A ACP 1967) and Borang 2 (Sek 34A ACP1967)

Guideline on the claim for double deduction on research expenditure under section 34B ITA 1967

Reference no. of the IRB guideline : LHDN.01/35/(S)/42/51/286-18Reference no. of application form : Borang DD2/1995(Pin.2)

Guideline on application under subsection 44(6) ITA 1967 for deduction of any gift of money to anapproved organisation in aid of individuals suffering from chronic/serious diseases

Reference no. of the IRB guideline : -

Reference no. of application form : LAMPIRAN B

Guideline on the types of serius diseases under subsection 46(g) ITA 1967Reference no. of the IRB guideline : LHDN.01/35/(S)/42/51/224-36.4Reference no. of application form : None

Guideline on the criteria for education and medical insurance policiesReference no. of the IRB guideline : LHDN.01/35/(S)/42/51/224-36.2Reference no. of application form : None

Guideline on the tax treatment of remisiersReference no. of the IRB guideline : LHDN.01/35/(S)/42/51/84Reference no. of application form : None

Guideline on Reinvestment Allowance under Schedule 7A ITA 1967 for qualifying projectsReference no. of the IRB guideline : EPS/PP/1/1997 and ITR 1998/1Reference no. of application form : LHDN/BT/RA/2005

Claim for exemption of income for value of increased export of services under:(i) Income Tax (Exemption) (No. 2) Order 2001 - P.U. (A) 154/2001; and(ii) Income Tax (Exemption) (No. 9) Order 2002 - P.U. (A) 57/2002Reference no. of application form : LHDN/BT/EX/AIES/2003-1Double deduction claim under Income Tax (Deduction For Promotion Of Export Of Professional Services)Rules 2003 - P.U. (A) 124/2003Reference no. of application form : LHDN/BT/DD/POE/PS/2003-1

8. Housing Developers :

Name, address and location of projectApproved layout planDate of completion for each phase of the projectCost of landDevelopment cost analysis for each phase on cumulative basis for each year of assessmentComputation of profit or loss on progress payments basis if the percentage of completion method isnot adopted


Appendix page - 4

A. GratuityGratuity is a gift for past services rendered. Gratuities are liable to tax except those listed in item C.

B. Computation Of Taxable GratuityIn computing the amount of taxable gratuity, the basis periods for which it is paid have to be considered inaccordance with the proviso to subsection 25(4).

Basis of apportionment :Method 1The amount of taxable gratuity shall be treated as accruing evenly over the period of continuous employmentwith the same employer or companies within the same group. (See Example I)ORMethod 2If the period of continuous employment with the same employer or companies within the same groupcommenced more than five (5) years before the commencement of the basis period in which the employmentceases, the amount of taxable gratuity shall be apportioned equally for the last six (6) years of assessment.(See Example II)

Example IPeriod of continuous employment is less than five (5) years before the commencement of the basis period inwhich the employment ceased.

Period of employment : Commencement 01.07.2005Cessation 30.06.2007

Amount of gratuity : RM6,000

Length of service is 731 days. Use Method 1.Basis Period for the year ending 31.12.2005 (01.07.2005 - 31.12.2005) = 184 daysBasis Period for the year ending 31.12.2006 (01.01.2006 - 31.12.2006) = 365 daysBasis Period for the year ending 31.12.2007 (01.01.2007 - 30.06.2007) = 182 days

Total 731days

APPENDIX B1: GRATUITY

Apportionment of gratuity according to the Year of Assessment

1 2 3 4 5Apportionment Period Computation Amount Year Of

(year) (days/year) RM Assessment

(i) 2005 184 days 184/731 x 6,000 1,510 2005

(ii) 2006 365 days 365/731 x 6,000 2,996 2006

(iii) - - - - -

(iv) - - - - -

(v) - - - - -

(vi) 2007 182 days 182/731 x 6,000 1,494 2007

Transfer amount 4(vi) for the current year of assessment to item A2 Working Sheet HK-2.


Appendix page - 5

Example II

Period of employment : Commencement - 01.01.1996Cessation - 30.06.2007

Amount of gratuity : RM25,000

Age when ceased employment : 45 years old

Length of service is more than five (5) years before the commencement of the basis period in which theemployment ceases. Use Method 2

Year Of Assessment

Basis Period for the year ending 31.12.2002 2002






Apportionment of gratuity according to the Year of Assessment

1 2 3 4 5Apportionment Period Computation Amount Year Of

(year) (months/year) RM Assessment

(i) 2002 1 year 1/6 x 25,000 4,167 2002

(ii) 2003 1 year 1/6 x 25,000 4,167 2003

(iii) 2004 1 year 1/6 x 25,000 4,167 2004

(iv) 2005 1 year 1/6 x 25,000 4,167 2005

(v) 2006 1 year 1/6 x 25,000 4,167 2006

(vi) 2007 1 year 1/6 x 25,000 4,167 2007

Transfer amount 4(vi) for the current year of assessment to item A2 Working Sheet HK-2.


Appendix page - 6

C. Exempted Gratuity

1. Retirement gratuity (a) The Director General is satisfied that the retirement isdue to ill-health

Or

(b) Retirement on or after reaching the age of 55 years/compulsory age of retirement and the individual hasworked 10 years continuous employment with the sameemployer or companies within the same group

Or

(c) The retirement takes place on reaching the compulsoryage of retirement pursuant to a contract of employmentor collective agreement at the age of 50 but before 55and that employment has lasted for 10 years with thesame employer or with companies in the same group:-

2. Gratuity paid out of public funds Gratuity paid out of public funds on retirement from anemployment under any written law

3. Gratuity paid to a contract officer Gratuity paid out of public funds to a contract officer on terminationof a contract of employment regardless of whether the contractis renewed or not.

4. Death gratuity Sums received by way of death gratuity.


Appendix page - 7

APPENDIX B2 : TAX ALLOWANCE

Tax Allowance/Tax borne by the employer

Tax borne by an employer is TAX ALLOWANCE which is chargeable to tax pursuant to the provision of paragraph 13(1)(a) ITA 1967.Method of computing this allowance for a continuous employment differs from that for an employment which ceases in a particularyear of assessment (Y/A).

Continuous Employment

Tax borne by an employer in respect of income for a particular year of assessment shall be taken into account as taxallowance for the following year of assessment. Tax borne by an employer in respect of employment income for the year2006 (Y/A 2006) is taken into account as tax allowance for the year 2007 (Y/A 2007) because the amount of tax payableis determined in the year 2007.

Example I

Salary for the period from 01.01.2006 - 31.12.2006 - RM150,000

Taxpayer is single and only entitled to claim relief in respect of himself and his dependent relatives.

Tax computation for Y/A 2006 to determine the tax allowance for Y/A 2007

RMIncome for the year 2006 150,000Less: Relief for individual and dependent relatives 8,000Chargeable Income 142,000

Tax on the first RM100,000 14,475.00Tax on the balance RM42,000 @ 27% 11,340.00Tax payable 25,815.00 (A)

Tax for the year 2006 is assessed on 31.05.2007 and paid by the employer. The tax payable of RM25,815.00 is thetax allowance to be taken into account as part of his income for the year 2007.

Transfer amount A to item A3 Working Sheet HK-2.

Additional tax raised for a particular year of assessment shall be taken into account for the year of assessment in which the noticeof additional assessment is issued. For example, where the notice of additional assessment in respect of additional income forY/A 2007 is issued in the year 2007, this additional tax shall be taken into account as tax allowance for Y/A 2007.

Example II

Income for the year 2006 including tax allowance [Y/A 2005 (original)] - RM150,000

Income for Y/A 2005:Original income for the year 2005 - RM120,000Additional income (bonus) for the year 2005 (received in the year 2006) - RM 30,000


Appendix page - 8

Tax computation for Y/A 2005 to determine the tax allowance for the year 2007 as the notice of additional assessmentfor 2005 is issued in the year 2007 (on 30.06.2007)

RMOriginal income for the year 2005 120,000Bonus (additional) for the year 2005 30,000Total 150,000Less: Relief for individual and dependent relatives 8,000

142,000

Tax on the first RM100,000 14,475.00Tax on the balance RM42,000 @ 27% 11,340.00Total 25,815.00Tax previously assessed 17,715.00Additional tax 8,100.00 (B)

Tax allowance for Y/A 2007 is:

Tax for the year 2006 25,815.00 (A)Additional tax for the year 2005 (additional assessment) 8,100.00 (B)Total 33,915.00 (C)

Transfer amount C to item A3 Working Sheet HK-2.

Cessation Of Employment

Tax for 2 years of assessment for an employment which ceases in or at the end of a year of assessment shall be taken into accountin that year of assessment. For example, the tax allowance for Y/A 2007 of a foreign employee who ceases employmenton 30.6.2007 is the total tax payable for Y/A 2006 and Y/A 2007.

Example III

Income for the year 2006 is as per example I.Income for the year 2007 is RM70,000.

Tax computation for Y/A 2007: RM

Income for the year 2007 70,000Tax allowance ( Y/A 2006) 25,815Total 95,815Less: Relief for individual and dependent relatives 8,000

87,815

Tax on the first RM70,000 7,275.00Tax on the balance RM17,815 @ 24% 4,275.60Tax payable 11,550.60 (D)

Tax allowance for Y/A 2007 :

Amount A (from example I): 25,815.00Amount D (from example III): 11,550.60Total 37,365.60Transfer this amount to item A3 Working Sheet HK-2.


Appendix page - 9

APPENDIX B3: BENEFITS-IN-KIND (BIK) [PARAGRAPH 13(1)(b)]

BENEFITS-IN-KIND (BIK)

(i) These are benefits/amenities not convertible into money provided by/on behalf of the employer for the personal use/enjoyment by his employee, wife, family, servants, dependents or guests of that employee.

(ii) The employer is required to report annually in the employee’s Statement of Remuneration and in the Form E for employer,all values of the BIK provided to his employee.

(iii) The value of the BIK determined according to Public Ruling No. 2/2004 and its Addendum (issued on 8 November 2004, 20May 2005 and 17 Jan 2006) is to be taken as part of the employee’s gross employment income. This Public Rulingsupercedes the Income Tax Ruling ITR 1997/2 issued on 25 August 1997.

VALUATION OF BIK

(i) The two methods which may be used to determine the value of BIK are:-(a) the prescribed value method; and(b) the formula method.

(ii) Whichever method used as the basis of computing the benefit must be consistently applied throughout the period ofprovision of the benefit.

(iii) In any case where motorcar is provided with/without petrol, the employer is required to report the type, year of manufactureand model of the motorcar as well as the date on which it is provided, in the employee’s Statement of Remuneration.

(iv) Toll fees paid by the employer is regarded as inclusive in the value of BIK on the motorcar. Maintenance costs suchas servicing, repairs, annual road tax and annual insurance premium are not regarded as part of the benefit of the employee.

(v) Where an employee enjoys the benefit of motorcar and free petrol, the value of the BIK on petrol depends on the method ofcomputing the value of the BIK on the motorcar.

A. THE PRESCRIBED VALUE METHOD

1. Under this method, the value of the BIK can be abated if the BIK is:-

(i) provided for less than a year; or/and

(ii) shared with another employee.

There is no abatement on the value of the BIK provided to the employee for business usage.

2. PRESCRIBED VALUE OF MOTORCAR AND ITS RELATED BENEFITS

(i) The following table can be used to determine the value of benefit from the private usage of motorcar and petrolprovided:

Annual PrescribedBenefit of:

Annual PrescribedBenefit of:Cost of Motorcar Cost of Motorcar

when New Motorcar Petrol when New Motorcar PetrolRM RM RM RM RM RM

Up to 50,000 1,200 600 200,001 - 250,000 9,000 2,100 50,001 - 75,000 2,400 900 250,001 - 350,000 15,000 2,400 75,001 - 100,000 3,600 1,200 350,001 - 500,000 21,250 2,700100,001 - 150,000 5,000 1,500 500,001 and above 25,000 3,000150,001 - 200,000 7,000 1,800


Appendix page - 10

3. PETROL PROVIDED WITHOUT MOTORCARThe taxable benefit is the total value of petrol provided to the employee.

4. DRIVER PROVIDED

The value of this benefit is fixed at RM600 per month. Where the driver is not specifically provided to the employee butcomes from a pool of drivers provided by the employer solely for business purposes, no benefit will be taxable on theemployee.

5. PRESCRIBED VALUE OF HOUSEHOLD FURNISHINGS, APPARATUS AND APPLIANCES

(i) To avoid detailed computation, please refer to the following table:

(ii) Under this method, the valuation will be based on the actual cost of the motorcar inclusive of accessories butexcluding financial charges, insurance premium and road tax at the time when it was new. This treatment isalso applied to secondhand, leased or rented motorcars. New motorcar includes a reconditioned motorcarat the time when it was first registered in Malaysia.

Example: Employee A is provided with a motorcar leased by his employer from a leasing company. Thecost of the motorcar when new is RM90,000. His employer paid a monthly lease rental of RM3,000for 48 months.The annual value of BIK taxable as part of the gross employment income is RM3,600. Paymentfor the lease rental is ignored.

(iii) The annual value of the BIK in respect of the motorcar can be reduced to half (1/2) of the prescribedvalue if the motorcar provided is more than five (5) years old. However, the value of the BIK in respectof petrol remains unchanged.

Category Type of Benefit Annual Value of BIK

(a) Semi-furnished with furniture in the lounge, dining room RM840or bedroom

(b) Semi-furnished with furniture as in 5(i)(a) above and one RM1,680or two of the following:- air-conditioners, curtains andalike, carpets

(c) Fully-furnished with benefits as in 5(i)(a) and 5(i)(b) RM3,360above plus one or more of kitchen equipment, crockery,utensils and appliances

(d) Service charges and other bills such as water and Service charges and billselectricity paid by the employer

(ii) The value of the benefit can be adjusted accordingly depending on whether any or all of the furnishings,apparatus and appliances mentioned above have been provided. If an employee has been providedwith all except those in item 5(i)(a), the value of the benefit to be assessed shall be RM2,520 ( RM3,360- RM840 ).

(iii) The value of the benefit can also be apportioned based on the period for which the benefit is provided.If an employee is provided with the benefit as per item 5(i)(a) from 01.04.2007, then the value of benefitfor the period 01.04.2007 - 31.12.2007 to be assessed for the year of assessment 2007, shall be RM630( RM840 x 9/12 ).

(iv) Reasonable adjustment on the value of the BIK can be made if the use of the benefit is shared withanother employee.Example: Facts of the case are the same as in example 5(iii) above. If the benefit is shared equally

with another employee, the value of the benefit for the year of assessment 2007 will beRM315 ( RM630 x 1/2 ).

(v) Fans and water heaters are treated as part of the residential premise and therefore disregarded.


Appendix page - 11

B. THE FORMULA METHOD1. The value of BIK based on formula method can be abated if the BIK is:-

(i) provided for less than a year; or/and(ii) shared with another employee; or/and(iii) used for the purpose of the employer’s business.

6. PRESCRIBED VALUE OF OTHER BENEFITS

Item Type of Benefit Value of BIK per Year

(a) (i) Mobile phone Hardware : RM 300 per telephoneBills : RM 300 per telephone

(ii) House telephone subscribed by the employer Bills : RM 300 per telephone

Note: Where the telephone is subscribed by the employee, the actual bills paid by the employer is the benefit to betaxed be under paragraph 13(1)(a) ITA 1967

(b) Gardener RM3,600 per gardener

(c) Household servant RM4,800 per servant

(d) Recreational club membership: (i) Entrance fee : Not taxableType of membership - Corporate (ii) Monthly/Annual membership subscription fees

for club membership paid by the employer isthe prescribed value to be taxed

Note:Type of membership - (1) Entrance feeIndividual (2) Monthly/Annual membership Amount paid or reimbursed by

subscription fees employer is taxed under(3) Term membership paragraph 13(1)(a) ITA 1967

2. Under this method, the value of each benefit provided is ascertained by using the formula below:

* Note: (i) ‘Cost’ means the actual cost incurred by the employer.(ii) ‘Prescribed average life span’ tabulated in item B6 must be applied for any benefit/amenity regardless

of whether the asset is old or new.3. Where the formula method is used to value the BIK in respect of the private usage of telephone, the calculation of the

benefit is as follows:(a) Mobile phone

(i) In relation to the benefit of the hardware:

(ii) In respect of the private usage of telephone bills:Actual cost of the employee’s private bills paid by the employer

(b) House telephone subscribed by the employerActual cost of the employee’s private bills paid by the employer.

4. Where a motorcar and its related benefits are provided(i) An abatement of 20% which is deemed to be the value of the motorcar at the time when it is returned to the employer by

the employee is given and the following formula is to be applied:

Cost* of the asset provided as benefit/amenityPrescribed average life span* of the asset = Annual value of the benefit

Cost of the asset (telephone)Prescribed average life span of the asset = Annual value of the benefit

Cost of the motorcar8 (Prescribed average life span)

x 80% = Annual value of benefit of the motorcar


Appendix page - 12

(ii) The value of the benefit in respect of petrol is the actual value of petrol provided by the employer irrespective of whethera motorcar is provided or not.

(iii) Under this method, NO ABATEMENT IS AVAILABLE if the motorcar provided is more than five (5) years old.

(iv) However, a reduction in the value of the benefits can be made if the:(a) motorcar is used partly for business purposes; or/and(b) employee is required to pay a sum of money to his employer for the benefits provided.

Example: Employee B is provided with a 6-year old motorcar with free petrol throughout the year 2007. Themotorcar was purchased at a cost of RM200,000. The total mileage of the motorcar in the year 2007 is36,000 km. of which 12,000 km. is in respect of private usage. His employer has expended RM8,400on petrol in respect of this motorcar. B is required to pay his employer RM1,200 to subsidize the costof petrol. The cost of the motorcar when new was RM280,000.The annual value of BIK for the year of assessment 2007 is computed as follows:MOTORCAR : RM6,667 (RM200,000/8 x 80% x 12,000/36,000)PETROL : RM1,600 [(RM8,400 x 12,000/36,000 ) - RM1,200]

5. OTHER ASSETSOther assets provided to the employee for his entertainment, recreation or other purposes such as piano,organ, television, stereo set, swimming pool and others will be treated as additional benefits and have tobe separately assessed based on the formula.

C. TAX EXEMPT BENEFITS(a) Medical, dental benefit or child-care benefit;(b) Leave passage for travel (confined only to the cost of fares for the employee and members of his immediate family):

- within Malaysia not exceeding 3 times in any calendar year; or- outside Malaysia not exceeding one passage in any calendar year, is limited to a maximum of RM3,000;

(c) The benefit is used by the employee solely for purposes of performing his employment duty;(d) Goods and services offered at discounted prices;(e) Food and drinks provided free of charge;(f) Free transportation between pick-up points or home and the place of work (to and fro);(g) Insurance premiums which are obligatory for foreign workers as a replacement to SOCSO contributions;(h) Group insurance premium to cover workers in the event of an accident.

6. PRESCRIBED AVERAGE LIFE SPAN OF VARIOUS ASSETS PROVIDED BY EMPLOYERS TO EMPLOYEES:

Category Assets Prescribed AverageLife Span (Years)

(a) Motorcar 8

(b) Furniture and fittings:Curtains and carpets 5Furniture, sewing machine 15Air-conditioner 8Refrigerator 10

(c) Kitchen equipment: 6crockery, rice-cooker, electric kettle, toaster, coffeemaker, gas cooker, cooker hood, oven, dish-washer,washing machine, dryer, food processor

(d) Entertainment and recreation :Piano 20Organ 10TV, video recorder, CD/DVD player, stereo set, 7swimming pool (detachable), sauna 15

(e) Miscellaneous 5


Appendix page - 13

APPENDIX B4 : BENEFIT / VALUE OF ACCOMODATION PROVIDED [PARAGRAPH 13(1)(c)]

COMPUTATION OF THE VALUE OF LIVING ACCOMODATION BENEFIT

Where an employer provides living accomodation for the use or enjoyment by his employee, the value of this benefit determinedaccording to Public Ruling No. 3/2005 (issued on 11 August 2005) is to be taken as part of his employee’s gross employmentincome under the provision of paragraph 13(1)(c).

The value of the living accomodation benefit is determined as follows:

(i) 3% of the gross employment income for category 1(ii) 30% of the gross employment income or the defined value *, whichever is lower for category 2(iii) The defined value for category 3

For the following examples:-

Gross employment income [paragraph 13(1)(a)] = TValue of the living accomodation provided = ZPeriod for which the living accomodation is provided = nLength of employment = mPortion of the living accomodation provided = XThe living accomodation provided as a whole = YDefined value = F

CATEGORY 1: Living accomodation provided for employee (other than officer of a Government/Statutory Body) / servicedirector:-

Living accomodation provided in a:

- Hotel, hostel or similar premise;

- Premise on a plantation, in a forest or any premise which although in a rateable area, is not subject to public rates.

Value of the living accomodation is 3% of the gross employment income [Paragraph 13(1)(a)]

Example I

- Gross employment income [Paragraph 13(1)(a)] RM36,000 (T)

- Period for which the living accomodation is provided 12 months (n)

- Length of employment in the current year 12 months (m)

Computation of the value of living accomodation provided

Value of the living accomodation (Z) = 3% x T x n/m= 3/100 x 36,000 x 12/12

= RM1,080

The taxable value of living accomodation benefit (Z) = RM1,080

Transfer amount Z to item C Working Sheet HK-2


Appendix page - 14

Example II

If the living accomodation is provided for less than 12 months in a year, the value of the living accomodation is calculated basedon the period the living accomodation is provided.

- Gross employment income [paragraph 13(1)(a)] RM150,000 (T)- Period for which the living accomodation is provided 7 months (n)- Length of employment in the current year 9 months (m)

Computation of the value of living accomodation provided :

Value of the living accomodation (Z) = 3% x T x n/m= 3/100 x 150,000 x 7/9= RM3,500



CATEGORY 2: Living accomodation provided for employee (other than officer of a Government/Statutory Body) orservice director

Value of the living accomodation = 30% x Gross employment incomeOR

The defined value(whichever is lower)

Example I: Living accomodation is not shared with any other employee

- Gross employment income [paragraph 13(1)(a)] RM150,000 (T)- Period for which the living accomodation is provided 12 months (n)- Length of employment in the current year 12 months (m)- Rental of the living accomodation provided RM2,000 per month- Defined value [2,000 x 12 months (m)] RM24,000 (F)

Computation of the value of living accomodation provided:

30% x T

= 30/100 x 150,000

= RM45,000

OR = F

= RM24,000

Value of the living accomodation (Z) = 24,000 x n/m

= 24,000 x 12/12

= RM24,000



whichever is lower


Appendix page - 15

Example II: Living accomodation is shared equally with another employee

- Gross employment income [paragraph 13(1)(a)] RM150,000 (T)- Period for which the living accomodation is provided 9 months (n)- Length of employment in the current year 9 months (m)- Rental of the living accomodation provided RM3,000 per month- 2 persons sharing: - portion of living accomodation provided 1 (X)

- living accomodation provided as a whole 2 (Y)- Defined value [3,000 x 9 months (m)] RM27,000 (F)


30% x T= 30/100 x 150,000= RM45,000

OR = F x X/Y= 27,000 x 1/2= RM13,500

Value of the living accomodation (Z) = 13,500 x n/m= 13,500 x 9/9= RM13,500



Example III: Part of the living accomodation provided is for official use- Gross employment income [paragraph 13(1)(a)] RM100,000 (T)- Period for which the living accomodation is provided 9 months (n)- Length of employment in the current year 12 months (m)- Rental of the living accomodation provided RM4,000 per month- 1/3 is for official use - Portion of living accomodation provided 2 (X)

- Living accomodation provided as a whole 3 (Y)- Defined value [4,000 x 12 months (m)] RM48,000 (F)

Computation of the value of living accomodation benefit:

30% x T= 30/100 x 100,000= RM30,000

OR = F x X/Y= 48,000 x 2/3= RM32,000

whichever is lower

whichever is lower

Value of the living accomodation (Z) = 30,000 x n/m= 30,000 x 9/12= RM22,500

The taxable value of living accomodation benefit (Z) = RM22,500Transfer amount Z to item C Working Sheet HK-2


Appendix page - 16

CATEGORY 3: Living accomodation provided for directors of controlled companies

For the director of a controlled company, the value of the living accomodation shall be the defined value of the living accomodationprovided. There is no comparison with 30% of the gross employment income.

Example I: Living accomodation is not shared

- Gross employment income [paragraph 13(1)(a)] RM200,000 (T)



- Rental of the living accomodation provided RM3,000 per month

- Defined value [3,000 x 10 months (m)] RM30,000 (F)


Value of the living accomodation (Z) = F x n/m

= 30,000 x 9/10

= RM27,000



Example 2: Living accomodation is shared equally with another director / employee

- Gross employment income [paragraph 13(1)(a)] RM200,000 (T)



- Rental of the living accomodation provided RM3,000 per month

- 2 persons sharing: - portion of living accomodation provided 1 (X)

- living accomodation provided as a whole 2 (Y)

- Defined value [3,000 x 12 months (m)] RM36,000 (F)


Value of the living accomodation (Z) = 36,000 x X/Y x n/m

= 36,000 x 1/2 x 12/12

= RM18,000




Appendix page - 17

APPENDIX B5 : COMPENSATION FOR LOSS OF EMPLOYMENT

1. INCOME FROM COMPENSATION

This is any amount received by an employee from his employer as compensation for loss of employment before or after hisemployment ceases.

2. EXEMPTED COMPENSATION

Compensation received is due to ill-health Full exemption is granted

Compensation received due to reasons other Exemption of RM6,000 is granted for eachthan the above completed year of service with the same

employer or companies in the same group

3. TAXABLE COMPENSATION

Compensation received by a director The whole amount is subject to tax(not a service director) of a controlledcompany (Transfer this amount to item E Working Sheet HK-2)

Example :

The service of an employee has been terminated under a Voluntary Separation Scheme (VSS).

A . Length of Service :-

1. Date of commencement 01.04.2000

2. Date of cessation 30.06.2007

3. No. of completed years of service 07 years

B. Amount of compensation RM45,000

C. Amount exempted (RM6,000 x 7) RM42,000

D. Taxable compensation (RM45,000 - RM42,000) RM3,000

(Transfer amount D to item E Working Sheet HK-2)


Appendix page - 18

APPENDIX C A

PPEN

DIX

C :

FO

RE

IGN

CU

RR

EN

CY

EX

CH

AN

GE

RA

TES

(Y

EA

RLY

AV

ER

AG

E)

YEA

R OF

1 WON

$1 N

EW1 R

UPEE

1 PES

O$1

1 RUP

EE1 F

RANC

$1BA

HT£1

$11

ASS

ESSM

ENT

SOUT

H KO

REA

ZEAL

AND

PAKI

STAN

PHIL

.S’

PORE

SRI L

ANKA

SWIT

ZERL

AND

TAIW

ANTH

AIUK

USA

EURO

1997

-1.

7339

0.07

050.

0962

1.78

920.

0459

-0.

0919

0.09

953.

9305

2.52

09-

1998

0.00

301.

9007

0.06

990.

0959

1.93

460.

0492

-0.

1003

0.09

054.

7807

2.91

22-

1999

0.00

282.

1099

0.08

160.

0965

2.34

380.

0607

2.70

920.

1173

0.09

576.

4916

3.91

77-

2000

(TB

TS)

0.00

322.

0310

0.07

460.

0982

2.26

260.

0542

2.55

790.

1188

0.10

146.

2044

3.80

00-

2000

(ST

TS)

0.00

341.

7557

0.07

140.

0874

2.22

700.

0500

2.27

530.

1230

0.09

595.

8211

3.80

00-

2001

0.00

301.

6148

0.06

230.

0753

2.14

360.

0430

2.27

760.

1137

0.08

635.

5292

3.80

00-

2002

0.00

311.

7790

0.06

430.

0745

2.14

340.

0402

2.47

180.

1113

0.08

935.

7623

3.80

003.

6254

2003

0.00

322.

2299

0.06

650.

0709

2.20

380.

0398

2.85

120.

1117

0.09

256.

2699

3.80

004.

3339

2004

0.00

332.

5495

0.06

580.

0685

2.27

080.

0379

3.09

250.

1150

0.09

537.

0348

3.80

004.

7725

2005

0.00

372.

6947

0.06

420.

0694

2.29

690.

0381

3.07

960.

1191

0.09

516.

9664

3.80

344.

7666

2006

0.00

382.

4063

0.06

140.

0722

2.33

060.

0356

2.95

530.

1139

0.09

766.

8176

3.70

434.

6479

2007

0.00

372.

5534

0.05

710.

0754

2.30

400.

0314

2.89

370.

1057

0.10

076.

9464

3.47

214.

7529

YEA

R O

F$1

1 DIN

AR$1

$1 1

RENM

INBI

1 RIY

AL1 R

AND

1 KRO

NE$1

1 RUP

EE1 R

UPIA

H1 Y

EN

ASS

ESSM

ENT

AUST

.BA

HRAI

NBR

UNEI

CANA

DACH

INA

ARAB

SAU

DIS.

AFRI

CANO

RWAY

HKIN

DIA

INDO

NESI

AJA

PAN

1997

1.97

456.

6861

1.78

921.

8507

--

--

0.32

600.

0716

0.00

110.

0236

1998

2.12

137.

7248

1.93

462.

0981

0.35

22-

--

0.37

620.

0799

0.00

100.

0240

1999

2.47

1210

.391

92.

3438

2.64

800.

4745

--

-0.

5057

0.09

530.

0004

0.03

01

2000

(TB

TS)

2.47

4810

.080

02.

2626

2.58

100.

4633

--

-0.

4942

0.08

910.

0005

0.03

38

2000

(ST

TS)

2.23

5010

.083

92.

2270

2.58

490.

4636

--

0.43

710.

4925

0.08

550.

0005

0.03

56

2001

1.98

7412

.520

22.

1436

2.47

930.

4637

--

0.42

740.

4921

0.08

140.

0004

0.03

16

2002

2.08

5110

.081

52.

1434

2.44

440.

4637

1.02

340.

3665

0.48

310.

4921

0.07

900.

0004

0.03

07

2003

2.49

6710

.081

22.

2038

2.74

070.

4637

1.02

340.

5092

0.54

330.

4928

0.08

240.

0004

0.03

31

2004

2.82

7710

.082

22.

2708

2.95

330.

4637

1.02

340.

5978

0.57

010.

4927

0.08

470.

0004

0.03

54

2005

2.91

6110

.089

12.

2967

3.15

290.

4669

1.01

990.

6013

0.59

550.

4918

0.08

690.

0004

0.03

48

2006

2.78

859.

8261

2.33

053.

2648

0.46

460.

9877

0.55

220.

5777

0.47

720.

0820

0.00

040.

0318

2007

2.90

849.

1412

2.30

383.

2396

0.45

630.

9265

0.49

260.

5932

0.44

500.

0844

0.00

040.

0295


Appendix page - 19

1. Special Deductions And Other Claims

Code Type Of Expenditure Reference

101 Equipment for disabled employees Paragraph 34(6)(e)

102 Translation into or publication in the national language of books approved by the Dewan Paragraph 34(6)(f)Bahasa dan Pustaka

103 Provision of library facilities/contributions to libraries not exceeding RM100,000 Paragraph 34(6)(g)

104 Expenditure on public welfare/amenities Paragraph 34(6)(h)

105 Revenue expenditure on the provision and maintenance of child care centre for employees’ Paragraph 34(6)(i)benefit

106 Establishment and management of approved musical or cultural groups Paragraph 34(6)(j)

107 Expenditure incurred for sponsoring any approved local and foreign arts, cultural or heritage Paragraph 34(6)(k)activity:- not exceeding RM500,000 in aggregate- not exceeding RM200,000 for sponsoring foreign arts, cultural or heritage activity

110 Revenue expenditure on scientific research directly undertaken and related to the business Subsection 34(7)

114 Deduction for information technology-related expenditure P.U.(A) 51/2000

116 Contribution to an approved benevolent fund/trust account in respect of individuals suffering Subsection 44(6)from serious diseases

117 Provision of practical training in Malaysia to resident individuals who are not own employees Paragraph 34(6)(n)

120 Investment in a venture company P.U.(A) 212/2001

122 Cost of developing website P.U.(A) 101/2003

2. Further Deductions

Code Type Of Expenditure Reference

201 Premiums for the import of cargo insured with an insurance company incorporated in Malaysia P.U.(A) 72/1982

202 Remuneration of disabled employees P.U.(A) 73/1982

204 Premiums for the export of cargo insured with an insurance company incorporated in Malaysia P.U.(A) 79/1995

205 Freight charges incurred for the export of rattan and wood-based products (excluding veneer P.U.(A) 422/1990and sawn timber)

208 Premiums for export credit insurance taken with Malaysia Export Credit Insurance Berhad P.U.(A) 526/1985

212 Freight charges for shipping goods from Sabah/Sarawak to Peninsular Malaysia P.U.(A) 50/2000

3. Double DeductionsCode Type Of Expenditure Reference

301 Revenue expenditure incurred on approved research Section 34A

302 Cash contributions to an approved research institute or payment for the use of services of Section 34Ban approved research institute/company, a research and development company or contractresearch and development company

306 Expenditure incurred for the promotion of export of professional services P.U.(A) 124/2003 &P.U.(A) 270/2005

APPENDIX D : CLAIM CODES


Appendix page - 20

No. Name of Country Country No. Name of Country CountryCode Code

1 Afghanistan AF

2 Aland Islands AX

3 Albania AL

4 Algeria DZ

5 American Samoa AS

6 Andorra AD

7 Angola AO

8 Anguilla AI

9 Antarctica AQ

10 Antigua and Barbuda AG

11 Argentina AR

12 Armenia AM

13 Aruba AW

14 Australia AU

15 Austria AT

16 Azerbaijan AZ

17 Bahamas BS

18 Bahrain BH

19 Bangladesh BD

20 Barbados BB

21 Belarus BY

22 Belgium BE

23 Belize BZ

24 Benin BJ

25 Bermuda BM

26 Bhutan BT

27 Bolivia BO

28 Bosnia and Herzegovina BA

29 Botswana BW

30 Bouvet Island BV

31 Brazil BR

32 British Indian Ocean Territory IO

33 Brunei Darussalam BN

34 Bulgaria BG

35 Burkina Faso BF

36 Burundi BI

37 Cambodia KH

38 Cameroon CM

39 Canada CA

40 Cape Verde CV

41 Cayman Islands KY

42 Central African Republic CF

43 Chad TD

44 Chile CL

45 China CN

46 Christmas Island CX

47 Cocos (Keeling) Islands CC

48 Colombia CO

49 Comoros KM

50 Congo CG

51 Congo, The Democratic Republic CDof the

52 Cook Islands CK

53 Costa Rica CR

54 Cote D’ivoire CI

55 Croatia (local name: Hrvatska) HR

56 Cuba CU

APPENDIX E: COUNTRY CODES


Appendix page - 21


57 Cyprus CY

58 Czech Republic CZ

59 Denmark DK

60 Djibouti DJ

61 Dominica DM

62 Dominican Republic DO

63 East Timor TP

64 Ecuador EC

65 Egypt EG

66 El Salvador SV

67 Equatorial Guinea GQ

68 Eritrea ER

69 Estonia EE

70 Ethiopia ET

71 Falkland Islands (Malvinas) FK

72 Faroe Islands FO

73 Fiji FJ

74 Finland FI

75 France FR

76 France, Metropolitan FX

77 French Guiana GF

78 French Polynesia PF

79 French Southern Territories TF

80 Gabon GA

81 Gambia GM

82 Georgia GE

83 Germany DE

84 Ghana GH

85 Gibraltar GI

86 Greece GR

87 Greenland GL

88 Grenada GD

89 Guadeloupe GP

90 Guam GU

91 Guatemala GT

92 Guinea GN

93 Guinea-Bissau GW

94 Guyana GY

95 Haiti HT

96 Heard and McDonald Islands HM

97 Honduras HN

98 Hong Kong HK

99 Hungary HU

100 Iceland IS

101 India IN

102 Indonesia ID

103 Iran Islamic Republic of IR

104 Iraq IQ

105 Ireland IE

106 Israel IL

107 Italy IT

108 Jamaica JM

109 Japan JP

110 Jordan JO

111 Kazakhstan KZ

112 Kenya KE

113 Kiribati KI

114 Korea, Democratic People’s KPRepublic of


Appendix page - 22


115 Korea, Republic of KR

116 Kuwait KW

117 Kyrgyzstan KG

118 Laos People’s Democratic Republic LA

119 Latvia LV

120 Lebanon LB

121 Lesotho LS

122 Liberia LR

123 Libyan Arab Jamahiriya LY

124 Liechtenstein LI

125 Lithuania LT

126 Luxembourg LU

127 Macao MO

128 Macedonia, The Former MKYugoslav Republic of

129 Madagascar MG

130 Malawi MW

131 Malaysia MY

132 Maldives MV

133 Mali ML

134 Malta MT

135 Marshall Islands MH

136 Martinique MQ

137 Mauritania MR

138 Mauritius MU

139 Mayotte YT

140 Mexico MX

141 Micronesia, Federated States of FM

142 Moldova, Republic of MD

143 Monaco MC

144 Mongolia MN

145 Montserrat MS

146 Morocco MA

147 Mozambique MZ

148 Myanmar MM

149 Namibia NA

150 Nauru NR

151 Nepal NP

152 Netherlands NL

153 Netherlands Antilles AN

154 New Caledonia NC

155 New Zealand NZ

156 Nicaragua NI

157 Niger NE

158 Nigeria NG

159 Niue NU

160 Norfolk Island NF

161 Northern Mariana Islands MP

162 Norway NO

163 Oman OM

164 Pakistan PK

165 Palau PW

166 Palestinian Territory, Occupied PS

167 Panama PA

168 Papua New Guinea PG

169 Paraguay PY

170 Peru PE

171 Philippines PH

172 Pitcairn PN


Appendix page - 23


173 Poland PL

174 Portugal PT

175 Puerto Rico PR

176 Qatar QA

177 Reunion RE

178 Romania RO

179 Russian Federation RU

180 Rwanda RW

181 Saint Kitts and Nevis KN

182 Saint Lucia LC

183 Saint Vincent and the Grenadines VC

184 Samoa WS

185 San Marino SM

186 Sao Tome and Principe ST

187 Saudi Arabia SA

188 Senegal SN

189 Serbia and Montenegro CS

190 Seychelles SC

191 Sierra Leone SL

192 Singapore SG

193 Slovakia (Slovak Republic) SK

194 Slovenia SI

195 Solomon Islands SB

196 Somalia SO

197 South Africa ZA

198 South Georgia and the South GSSandwich Islands

199 Spain ES

200 Sri Lanka LK

201 St. Helena SH

202 St. Pierre and Miquelon PM

203 Sudan SD

204 Suriname SR

205 Svalbard and Jan Mayen Islands SJ

206 Swaziland SZ

207 Sweden SE

208 Switzerland CH

209 Syrian Arab Republic SY

210 Taiwan, Province of China TW

211 Tajikistan TJ

212 Tanzania, United Republic of TZ

213 Thailand TH

214 Timor - Leste TL

215 Togo TG

216 Tokelau TK

217 Tonga TO

218 Trinidad and Tobago TT

219 Tunisia TN

220 Turkey TR

221 Turkmenistan TM

222 Turks and Caicos Islands TC

223 Tuvalu TV

224 Uganda UG

225 Ukraine UA

226 United Arab Emirates AE

227 United Kingdom GB

228 United States US


Appendix page - 24


229 United States Minor Outlying Islands UM

230 Uruguay UY

231 Uzbekistan UZ

232 Vanuatu VU

233 Vatican City State (Holy See) VA

234 Venezuela VE

235 Vietnam VN

236 Virgin Islands (British) VG

237 Virgin Islands (U.S.) VI

238 Wallis And Futuna Islands WF

239 Western Sahara EH

240 Yemen YE

241 Yugoslavia YU

242 Zambia ZM

243 Zimbabwe ZW


Appendix page - 25

APPENDIX F : AVOIDANCE OF DOUBLE TAXATION AGREEMENTS (DTA) ANDWITHHOLDING TAX RATES ON PAYMENTS TO NON-RESIDENTS

1 Albania 10 10 10 2 Argentina* 15 10 10 3 Australia 15 10 NIL 4 Austria 15 10 10 5 Bahrain 5 8 10 6 Bangladesh 15 10 10 7 Belgium 10 10 10 8 Bosnia & Herzegovina** 10 8 10 9 Canada 15 10 1010 Chile** 15 10 511 China 10 10 1012 Croatia 10 10 101 3 Czech Republic 12 10 101 4 Denmark 15 10 101 5 Egypt 15 10 101 6 Fij i 15 10 101 7 Finland 15 10 101 8 France 15 10 101 9 Germany 15 10 NIL2 0 Hungary 15 10 102 1 India 10 10 102 2 Indonesia 15 10 1023 Iran** 15 10 102 4 Ireland 10 8 102 5 Italy 15 10 102 6 Japan 10 10 102 7 Jordan 15 10 1028 Kazakhstan** 10 10 102 9 Krygyz 10 10 1030 Kuwait 10 10 1031 Lebanon 10 8 1032 Luxembourg 10 8 83 3 Malta 15 10 103 4 Mauritius 15 10 103 5 Mongolia 10 10 1036 Morocco 10 10 103 7 Myanmar** 10 10 103 8 Namibia 10 5 5

Fees forTechnical Services

%Royalty

%Interest

%CountryNo.


Appendix page - 26

Notes:1. There is no withholding tax on dividends paid by Malaysian companies.2. Where the rate of tax is not specifically stated in the respective DTA, the applicable rate of tax as stated in the ITA

1967 shall apply.3. Where the rate of tax provided in the ITA 1967 is lower than the maximum rate of tax mentioned in the respective

DTA, the lower rate of tax shall apply.4. In the case of Taiwan (represented by Taipei Economic and Cultural Office in Malaysia), double taxation relief is

given by way of the following Income Tax Exemption Order.(i) P.U.(A) 201 (1998)(ii) P.U.(A) 202 (1998)The withholding tax for Interest, Royalties and Fees for Technical Services are reduced to 10%, 10% and 7.5%respectively.

* Limited DTA** Not effective

3 9 Netherlands 10 8 84 0 New Zealand 15 10 104 1 Norway 15 10 104 2 Pakistan 15 10 104 3 Papua New Guinea 15 10 104 4 Philippines 15 10 104 5 Poland 15 10 104 6 Romania 15 10 104 7 Russia 15 10 104 8 Saudi Arabia 5 8 849 Seychelles 10 10 105 0 Singapore 10 8 55 1 South Africa 10 5 552 South Korea 15 10 1053 Spain 10 7 55 4 Sri Lanka 10 10 105 5 Sudan 10 10 1056 Syria 10 10 105 7 Sweden 10 8 85 8 Switzerland 10 10 105 9 Thailand 15 10 106 0 Turkey 15 10 106 1 United Arab Emirates 5 10 106 2 United Kingdom 10 8 86 3 United States of America* 15 10 106 4 Uzbekistan 10 10 1065 Venezuela** 15 10 106 6 Vietnam 10 10 106 7 Zimbabwe** 10 10 10

Fees forTechnical Services

%Royalty

%Interest

%CountryNo.


Appendix page - 27

A AGRICULTURE, HUNTING AND FORESTRY

01111 Growing of paddy01112 Growing of tobacco01113 Growing of sugar cane01114 Growing of tapioca01115 Rubber estate01116 Rubber smallholdings01117 Oil palm estate01118 Oil palm smallholdings01119 Growing of other crops n.e.c. (Example: sweet potatoes, yam, maize, groundnuts, cultivated sago)01121 Growing of vegetables [including mushrooms]01129 Growing of flower plants for planting or ornamental purposes01131 Growing of cocoa01132 Growing of tea01133 Growing of coffee01134 Growing of pineapple01135 Growing of banana01136 Growing of pepper01137 Growing of coconut (estates and smallholdings)01138 Growing of durian01139 Growing of other fruits01211 Cattle farming01212 Poultry farming01213 Pig farming01219 Other livestock farming01300 Mixed farming: growing of crops combined with farming of livestock01400 Agricultural and animal husbandry service activities except veterinary activities01500 Hunting, trapping and game propagation including related service activities02001 Logging (except rubber wood logging)02002 Collection of rattan and other jungle produce02003 Charcoal production [when carried out in the forest]02004 Wild sago palm collection02005 Bird’s nest collection02006 Rubber wood logging02009 Forest services n.e.c.

B FISHING

05001 Ocean and coastal fishing05002 Inland fishing05003 Aquaculture05009 Fishing n.e.c.

APPENDIX G : BUSINESS CODES


Appendix page - 28

C MINING AND QUARRYING

10100 Mining of charcoal and lignite; extraction of peat11100 Extraction of crude oil and natural gas11200 Service activities incidental to crude oil and natural gas extraction excluding surveying12000 Mining of uranium and thorium ores13100 Mining of iron ores13201 Mining of tin ores13202 Amang retreatment13203 Mining of copper13204 Mining of gold13205 Mining of bauxite13206 Mining of ilmenite13209 Mining of other non-ferrous metal ores14101 Quarrying of granite14102 Quarrying of limestone14103 Mining of sand and gravel14104 Mining of kaolin [china clay]14105 Mining of ball clay/plastic clay14106 Mining of other clay14107 Mining of barytes14108 Mining of silica sand14109 Quarrying of other rocks n.e.c.14211 Extraction of guano and phosphate rock14219 Mining of other chemical and fertilizer minerals14220 Extraction of salt14290 Other mining and quarrying n.e.c.

D MANUFACTURING

Production, processing and preservation of meat, fish, fruits, vegetables, oil and fats

15111 Processing and preserving of poultry and poultry products15119 Production, processing and preserving of other meat products15120 Processing and preserving of fish and fish products15131 Pineapple canning15139 Canning and preserving of other fruits and vegetables15141 Manufacture of coconut oil15142 Manufacture of crude palm oil15143 Manufacture of refined palm oil15144 Manufacture of palm kernel oil15149 Manufacture of other vegetable and animal oils and fats

MANUFACTURE OF DAIRY PRODUCTS

15201 Manufacture of ice-cream15202 Manufacture of condensed, powdered and evaporated milk15209 Manufacture of other dairy products


Appendix page - 29

Manufacture of grain mill products, starches and starch products, and prepared animal feeds

15311 Rice milling15312 Flour milling15319 Manufacture of other flour/grain mill products15321 Manufacture of starch15322 Manufacture of glucose and glucose syrup, maltose15323 Manufacture of sago and tapioca flour/products15329 Manufacture of other starch products15330 Manufacture of prepared animal feeds

Manufacture of other food products

15411 Manufacture of biscuits and cookies15412 Manufacture of bread, cake and other bakery products15420 Manufacture of sugar15431 Manufacture of cocoa products15432 Manufacture of chocolate products and sugar confectionery15440 Manufacture of macaroni, noodles and similar products15491 Manufacture of ice (excluding dry ice)15492 Manufacture of coffee15493 Manufacture of tea15494 Manufacture of spices and curry powder15495 Manufacture of nut and nut products15496 Manufacture of sauces including flavouring extracts such as monosodium glutamate15497 Manufacture of snack: cracker/chips [Example: prawn/fish crackers (keropok), potato/banana/tapioca chips]15499 Manufacture of other food products n.e.c.

Manufacture of beverages

15510 Distilling, rectifying and blending of spirits; ethyl alcohol production from fermented materials15520 Manufacture of wines15530 Manufacture of malt liquors and malt15541 Manufacture of soft drinks15542 Production of mineral waters

Manufacture of tobacco products

16000 Manufacture of tobacco products

Spinning, weaving and finishing of textiles

17111 Natural fibre spinning; weaving of textiles17112 Man-made fibre spinning; weaving of textiles17121 Dyeing, bleaching, printing and finishing of yarns and fabrics (excluding batek)17122 Batek making

Manufacture of other textiles

17210 Manufacture of made-up textile articles except apparel17220 Manufacture of carpets and rugs17230 Manufacture of cordage, rope, twine and netting17291 Handicraft spinning and weaving17299 Manufacture of other textiles n.e.c.


Appendix page - 30

Manufacture of knitted and crocheted fabrics and articles

17300 Knitted and crocheted fabrics and articles

Manufacture of wearing apparel except fur apparel

18101 Manufacturing of clothings18102 Custom tailoring and dressmaking18109 Manufacture of miscellaneous wearing apparel n.e.c.

Dressing and dyeing of fur; manufacture of articles of fur

18200 Dressing and dyeing of fur; manufacture of articles of fur

Tanning and dressing of leather; manufacture of luggage, handbags, saddlery and harness

19110 Tanning and dressing of leather19120 Manufacture of luggage, handbags and the like, saddlery and harness of leather and leather substitutes

Manufacture of footwear

19200 Manufacture of footwear

Manufacture of wood and of products of wood, cork, straw and plaiting materials

20100 Sawmilling and planing of wood20211 Manufacture of veneer sheets and plywood20212 Manufacture of laminboard, particle board and other panels and board20220 Manufacture of builders’ carpentry and joinery20230 Manufacture of wooden and cane containers20291 Manufacture of charcoal20299 Manufacture of other products of wood, cane, articles of cork, straw and plaiting materials

Manufacture of paper and paper products

21010 Manufacture of pulp, paper and paperboard21020 Manufacture of corrugated paper and paperboard and containers of paper and paperboard21091 Manufacture of carbon papers21092 Manufacture of envelopes, letter cards, correspondence cards or plain postcards21093 Manufacture of toilet papers, cleansing tissues, towels, serviettes21094 Manufacture of paper articles found about the house (Example : trays, dishes, cups, straws)21095 Manufacture of sanitary towels and tampons, disposal napkins and napkin liners for babies21096 Manufacture of gummed and adhesive paper in strips or rolls and labels, wallpaper21097 Manufacture of effigies, funeral paper goods, joss papers21099 Manufacture of other articles of paper and paperboard n.e.c.

Publishing

22110 Publishing of books, brochures, musical books and other publications22120 Publishing of newspapers, journals and periodicals22130 Publishing of recorded media excluding reproduction of recorded media (22300), motion picture and video

production (92111) and computer software (72200)22190 Other publishing


Appendix page - 31

Printing and service activities related to printing

22210 Printing22220 Service activities related to printing (including binding)

Reproduction of recorded media

22300 Reproduction of recorded media [including record, video, computer tapes, software, film excludingrecording or taping of sound (92492)]

Manufacture of coke, refined petroleum products and nuclear fuel

23100 Manufacture of coke oven products23200 Manufacture of refined petroleum products23300 Processing of nuclear fuel

Manufacture of chemicals and chemical products

24111 Manufacture of industrial gases, whether compressed, liquefied or in solid state24119 Manufacture of other basic industrial chemicals except fertilizers and nitrogen compounds24120 Manufacture of fertilizers and nitrogen compounds24130 Manufacture of plastics in primary forms and of synthetic rubber

Manufacture of other chemical products

24210 Manufacture of pesticides and other agrochemical products24221 Manufacture of paints, varnishes and similar coatings and mastics24222 Manufacture of printing ink24230 Manufacture of pharmaceuticals, medicinal chemicals and botanical products24240 Soap and detergents, cleaning and polishing preparations, perfumes and toilet preparations

(Example : toothpaste, shampoo, etc.)24290 Manufacture of other chemical products n.e.c.24300 Manufacture of man-made fibres

Manufacture of rubber products

25111 Manufacture of rubber tyres and tubes25112 Retreading and rebuilding of rubber tyres25191 Rubber remilling and latex processing25192 Rubber smokehouses25193 Manufacture of rubber gloves25199 Manufacture of other rubber products n.e.c.

Manufacture of plastic products

25201 Manufacture of plastic blow moulded products25202 Manufacture of plastic extruded products25203 Manufacture of plastic bags and films25204 Manufacture of plastic product rigid fibre reinforced25205 Manufacture of plastic foam products25206 Manufacture of plastic injection moulded components25209 Manufacture of other plastic products n.e.c.


Appendix page - 32

Manufacture of glass and glass products

26100 Manufacture of glass and glass products

Manufacture of non-metallic mineral products n.e.c.

26910 Manufacture of non-structural non-refractory ceramic ware26920 Manufacture of refractory ceramic products26930 Manufacture of structural non-refractory clay and ceramic products26941 Manufacture of hydraulic cement26942 Manufacture of lime and plaster26951 Manufacture of ready-mix concrete26959 Manufacture of other articles of concrete, cement and plaster26960 Cutting, shaping and finishing of stone26990 Manufacture of other non-metallic mineral products, n.e.c.27100 Manufacture of basic iron and steel products27201 Tin smelting27209 Manufacture of other basic precious and non-ferrous metals27310 Casting of iron and steel27320 Casting of non-ferrous metal

Manufacture of fabricated metal products

28110 Manufacture of structural metal products28120 Manufacture of tanks, reservoirs and containers of metal28910 Forging, pressing, stamping and roll-forming of metal; powder metallurgy28920 Treatment and coating of metals, general mechanical engineering on a fee or contract basis28930 Manufacture of cutlery, hand tools and general hardware28991 Manufacture of tin cans and metal boxes28992 Manufacture of wire, wire products and metal fasteners28993 Manufacture of brass, copper, pewter and aluminium products28999 Manufacture of other fabricated metal products n.e.c.

Manufacture of general purpose machinery

29110 Manufacture of engines and turbines except aircraft, vehicle and cycle engines29120 Manufacture of pumps, compressors, taps and valves29130 Manufacture of bearings, gears, gearing and driving elements29140 Manufacture of ovens, furnaces and furnace burners29150 Manufacture of lifting and handling equipment29191 Manufacture of air-conditioning, refrigerating and ventilating machinery29199 Manufacture of other general purpose machinery n.e.c.

Manufacture of special purpose machinery

29210 Manufacture of agriculture and forestry machinery29220 Manufacture of machine tools29230 Manufacture of machinery for metallurgy29240 Manufacture of machinery for mining, quarrying and construction29250 Manufacture of machinery for food, beverage and tobacco processing29260 Manufacture of machinery for textile, apparel and leather production29270 Manufacture of weapons and ammunition29290 Manufacture of other special purpose machinery n.e.c.29300 Manufacture of domestic appliances n.e.c. (Example : refrigerator, washing machine, oven, etc.)


Appendix page - 33

Manufacture of office, accounting and computing machinery

30001 Manufacture of office and accounting machinery30002 Manufacture of computers and computer peripherals

Manufacture of electrical motors, generators and transformers

31100 Manufacture of electrical motors, generators and transformers

Manufacture of electricity distribution and control apparatus

31200 Manufacture of electricity distribution and control apparatus

Manufacture of telecommunication cables and wires

31301 Manufacture of telecommunication cables and wires31302 Manufacture of electric power cables and wires31309 Manufacture of other insulated wires and cables n.e.c.

Manufacture of accumulators, primary cells and primary batteries

31400 Manufacture of accumulators, primary cells and primary batteries

Manufacture of electric lamps and lighting equipment

31500 Manufacture of electric lamps and lighting equipment31600 Manufacture of domestic appliances31900 Manufacture of other electrical equipment n.e.c.

Manufacture of electronic valves and tubes and other electronic components

32101 Manufacture of semi-conductor devices32102 Manufacture of electronic valves and tubes and printed circuit boards32109 Manufacture of other electronic components n.e.c.

Manufacture of television and radio transmitters and apparatus for line telephony and line telegraphy

32200 Manufacture of television and radio transmitters and apparatus for line telephony and line telegraphy32300 Manufacture of television and radio receivers, sound or video recording or reproducing apparatus, and associated

goods

Manufacture of medical appliances and instruments and appliances for measuring, checking, testing, navigatingand other purposes except optical instruments

33110 Manufacture of medical and surgical equipment and orthopaedic appliances33120 Manufacture of instruments and appliances for measuring, checking, testing, navigating and other purposes,

except industrial process control equipment33130 Manufacture of industrial process control equipment

Manufacture of optical instruments and photographic equipment

33201 Manufacture of optical instruments33202 Manufacture of photographic equipment


Appendix page - 34

Manufacture of watches and clocks

33300 Manufacture of watches and clocks

Manufacture of motor vehicles

34100 Manufacture of motor vehicles

Manufacture of bodies (coachwork) for motor vehicles; manufacture of trailers and semi-trailers

34200 Manufacture of bodies (coachwork) for motor vehicles; manufacture of trailers and semi-trailers

Manufacture of parts and accessories for motor vehicles and their engines

34300 Manufacture of parts and accessories for motor vehicles and their engines

Ships, locomotives, aircrafts

35110 Building and repairing of ships35120 Building and repairing of pleasure and sporting boats35200 Manufacture of railway and tramway locomotives and rolling stock35300 Manufacture of aircraft and spacecraft

Manufacture of transport equipment

35910 Manufacture of motor cycles35920 Manufacture of bicycles and invalid carriages35990 Manufacture of other transport equipment n.e.c.

Manufacture of furniture

36101 Manufacture of wooden and cane furniture36102 Manufacture of metal furniture36109 Manufacture of other furniture, except stone, concrete or ceramic

Manufacturing n.e.c.

36910 Manufacture of jewellery and related articles36920 Manufacture of musical instruments36930 Manufacture of sports goods36940 Manufacture of games and toys36991 Manufacture of brooms, brushes and mops36992 Manufacture of pens, pencils, office and artists’ supplies36993 Manufacture of umbrella36999 Other manufacturing n.e.c.

Recycling of metal waste and scrap

37101 Recycling of tin37109 Recycling of other metal waste and scrap37201 Recycling of textile fibres37202 Recycling of rubber37209 Recycling of other non-metal waste and scrap


Appendix page - 35

E ELECTRICITY, GAS AND WATER SUPPLY

40100 Production, collection and distribution of electricity40200 Manufacture of gas, distribution of gaseous fuels through mains40300 Steam and hot water supply41000 Collection, purification and distribution of water

F CONSTRUCTION

Site preparation

45101 Demolition or wrecking of buildings and other structures and its clearance work45102 Land preparations work45103 Preparation of mineral properties and sites except oil and gas sites45104 Land reclamation work45109 Other site preparations n.e.c.

Building of complete constructions or parts thereof; and civil engineering

45201 Residential buildings45202 Non-residential buildings45203 Construction of roads, bridges, tunnels, viaducts, highways, elevated highways, railways, airfields,

harbours, etc.45204 Construction of dams, irrigation system, drainage and sewage system, pipelines and other water projects45205 Communication and power line45206 Sports facilities including stadium, golf course, etc.45209 Other civil engineering

Building installation (including repairs)

45301 Plumbing, sewage and sanitary installation work45302 Electrical wiring and fitting work45303 Fencing and railing construction work45304 Lift and escalator construction work45305 Gas fitting construction work45306 Fire protection, security alarm and telecommunication systems installation work45307 Heating, ventilation, air conditioning and refrigeration work45309 Other building installation works n.e.c.

Building completion (including repairs)

45401 Building completion works45402 Painting and decorating45403 Floor sanding, finish carpentry, acoustical work and cleaning of the exterior, etc.45409 Other building completion works n.e.c.

Renting of construction or demolition equipment with operator

45500 Renting of construction and demolition equipment with operator


Appendix page - 36

G WHOLESALE AND RETAIL TRADE

Sale of motor vehicles

50101 Wholesale of cars, vans and 4-wheel drives - new50102 Wholesale of cars, vans and 4-wheel drives - used50103 Wholesale of industrial and commercial vehicles - new50104 Wholesale of industrial and commercial vehicles - used50109 Wholesale of other motor vehicles n.e.c.50111 Retail sale of cars, vans and 4-wheel drives - new50112 Retail sale of cars, vans and 4-wheel drives - used50119 Retail sale of other motor vehicles n.e.c.

Maintenance and repair of motor vehicles

50201 Maintenance and repair of cars, vans and 4-wheel drives50202 Maintenance and repair of industrial and commercial vehicles

Sale of motor vehicles parts and accessories

50301 Wholesale of parts and accessories for cars, vans and 4-wheel drives50302 Wholesale of parts and accessories for industrial and commercial vehicles50303 Retail sale of parts and accessories for motor vehicles50401 Wholesale of motorcycles and related parts and accessories50402 Retail sale of motorcycles and related parts and accessories

Retail sale of automotive fuel (petrol and lubricants)

50500 Retail sale of automotive fuel

Wholesale on a fee or contract basis

51100 Wholesale on a fee or contract basis

Wholesale of agricultural raw materials, livestock, food, beverages and tobacco

51211 Wholesale of rubber51212 Wholesale of palm oil51213 Wholesale of livestock51214 Wholesale of lumber and timber51215 Wholesale of trees, shrubs potted51219 Wholesale of other agricultural products n.e.c.51221 Wholesale of meat, poultry and eggs51222 Wholesale of fish and other seafood51223 Wholesale of fruits51224 Wholesale of vegetables51231 Wholesale of rice, other grains, flour and sugar51232 Wholesale of dairy products51233 Wholesale of confectionery51234 Wholesale of biscuits, cakes, bread and other bakery products51235 Wholesale of coffee, tea and other beverages


Appendix page - 37

51236 Wholesale of soft drinks and mineral water51237 Wholesale of beer, wines and spirits51238 Wholesale of tobacco, cigars, cigarettes, etc.51239 Wholesale of other foodstuffs [Example: mee, kueh teow, mee hoon, wantan skins and related foodstuffs (including

canned food, cooking oil, sugar, dairy products, etc.)]

Wholesale of household goods

51311 Wholesale of textiles, clothing, house linens, towels and blankets51312 Wholesale of footwear51321 Wholesale of sports goods and athletic goods and equipment51322 Wholesale of bicycles and parts thereof51323 Wholesale of games and toys51324 Wholesale of travelling and leather goods (except leather footwear and clothing)51325 Wholesale of handicrafts and artificial flowers51326 Wholesale of cut flowers and plants51391 Wholesale of pharmaceutical, orthopaedic and medical goods, perfumery, cosmetics and toiletries51392 Wholesale of books, newspapers, magazines and stationery51393 Wholesale of jewellery, watches, clocks and silverware51394 Wholesale of photographic equipment and supplies51395 Wholesale of optical goods51396 Wholesale of household hardware, kitchenware, chinaware, glassware, ornaments, etc.51397 Wholesale of household appliances, radio and television equipment, musical instruments, records and music

tapes51398 Wholesale of furniture, furnishings, wallpaper and floor coverings51399 Wholesale of other household goods (Example: cleaning material, fancy goods and other miscellaneous consumer

goods)

Wholesale of non-agricultural intermediate products, waste and scrap

51411 Wholesale of petrol, diesel, lubricants, etc.51412 Wholesale of liquified petroleum gas51419 Wholesale of other solid, liquid and gaseous fuels and related products (Example: charcoal, kerosene, paraffin,

firewood, etc.)51420 Wholesale of metals, metal ores and fabricated metals51431 Wholesale of logs, sawn timber, plywood, veneer and related products51432 Wholesale of construction materials, builders’ hardware, plumbing and heating equipment and supplies51491 Wholesale of fertilizers51492 Wholesale of metal scraps51493 Wholesale of non-metal materials51499 Wholesale of other intermediate products, waste and scrap n.e.c.

Wholesale of machinery, equipment and supplies

51511 Wholesale of telecommunication equipment and accessories51512 Wholesale of electrical and electronic components and wiring accessories51520 Wholesale of office machinery and business equipment (Example: cash register)51530 Wholesale of computer hardware, software and peripherals51591 Wholesale of industrial, agricultural, construction and civil engineering machinery and equipment51592 Wholesale of lifts, escalators, air conditioning, security and fire fighting equipment51593 Wholesale of marine and aircraft equipment and accessories and other transport equipment n.e.c.51599 Wholesale of other machinery and equipment n.e.c.


Appendix page - 38

Other wholesale

51911 Wholesale trade in aquarium fishes, pet birds and animals51912 Wholesale of animal/pet food51913 Wholesale of leather and PVC material51915 Wholesale trade in paper, cellophane products, packaging materials51916 Wholesale of agricultural and farm supplies (Example: nursery stock, seeds, horticultural, orchard supplies,

etc.)51919 Wholesale of other specific commodities n.e.c.51920 Non-specialized wholesale stores

Non-specialized retail trade in stores

52111 Provision stores52112 Supermarket52113 Mini market52114 Convenience stores52191 Department stores52192 Department store and supermarket52193 News agent and miscellaneous goods stores52199 Other retail sale in non-specialized stores n.e.c.

Retail sale of food, beverages and tobacco in specialized stores

52211 Retail sale of meat and poultry [fresh or frozen]52212 Retail sale of fish and other seafood52213 Retail sale of fruits52214 Retail sale of vegetables52221 Retail sale of rice, flour and other grains52222 Retail sale of confectionery (sweets, etc.)52223 Retail sale of biscuits, cakes, bread and other bakery products52224 Retail sale of beer, wine and spirits52225 Retail sale of soft drinks52226 Retail sale of tea, coffee and other beverages52227 Retail sale of tobacco, cigars and cigarettes, etc.52229 Retail sale of mee, kuey teow, mee hoon, wantan skins, and other foodstuffs (including canned food, cooking oil,

sugar, dairy products, etc.)

Other retail trade of new goods in specialized stores

52310 Retail sale of pharmaceutical, medical and orthopaedic goods, perfumery, cosmetic and toilet articles52321 Retail sale of textiles, linens, towels, blankets, etc.52322 Retail sale of articles of clothing, articles of fur and clothing accessories52323 Retail sale of footwear52324 Retail sale of leather goods and travel accessories52331 Retail sale of household utensils, kitchenware, chinaware, glassware, ornaments, etc.52332 Retail sale of electrical household appliances, radio and television equipment52333 Retail sale of household furniture and furnishings52334 Retail sale of lighting and lighting accessories52339 Retail sale of household appliances articles and equipment n.e.c.52340 Retail sale of hardware, paint and glass


Appendix page - 39

52351 Retail sale of sports goods52352 Retail sale of bicycles52353 Retail sale of games and toys52354 Retail sale of musical instruments, music tapes, records, compact discs and video tapes52355 Retail sale of aquarium fishes52356 Retail sale of pet birds and animals and pet food52359 Retail sale of other recreational goods52360 Retail sale of computers, computer equipment and supplies, non-customized software and printers52370 Retail sale of telecommunication equipment52381 Retail sale of photographic equipment52382 Retail sale of spectacles and other optical goods52383 Retail sale of scientific and precision equipment52391 Retail sale of office supplies and equipment52392 Retail sale of watches, clocks, jewellery and silverware52393 Retail sale of liquified petroleum gas (cooking gas)52394 Retail sale of books, magazines, newspapers and stationery52395 Retail sale of flowers and other plants52399 Other retail sale in specialized stores n.e.c.

Retail sale of second-hand goods in stores

52401 Retail sale of second-hand books52402 Retail sale of second-hand electrical and electronic goods52403 Pawnshops52404 Retail sale of antique52409 Retail sale of second-hand goods n.e.c.

Retail sale not in stores

52511 Retail sale via mail order houses52512 Retail sale via direct selling52520 Retail sale via stalls and markets52590 Other non-store retail sale n.e.c.

Repair of personal and household goods

52601 Repair of footwear and other leather goods52602 Repair of electrical appliances and electronic goods52603 Repair of watches, clocks and jewellery52604 Repair of bicycles52609 Repair of othe rpersonal and household goods n.e.c.

H HOTELS DAN RESTAURANTS

Hotels; camping sites and other provision of short-stay accomodation

55101 Hotels55102 Camping sites and other provision of short-stay accomodation


Appendix page - 40

Restaurants, bars dan canteens

55211 Restaurants and restaurants cum night clubs55212 Fast food restaurants55213 Coffee shops55214 Cafes, snack bars (includes lunch counters and refreshment stands55215 Canteens55216 Food caterers55217 Pubs, bars, coffee houses, cocktail lounges and karaoke55219 Eating and drinking places n.e.c.55221 Food stalls/hawkers55222 Drink stalls/hawkers55223 Food and drink stalls/hawkers

I TRANSPORT, STORAGE AND COMMUNICATIONS

Transport via railways

60100 Train service

Other land transport

60211 Bus services (stage, mini and ekspress bus service)60212 Factory bus service60213 School bus service60214 Suburban railway passenger transport service (Example: LRT, KTM commuter and monorail)60219 Other scheduled passenger land transport n.e.c.60221 Taxi, car for hire [with driver] and limousine services60229 Other non-scheduled passenger land transport n.e.c.60230 Freight transport by road

Transport via pipelines

60300 Transport via pipelines (including gas, liquefied)

Sea and coastal transport

61101 Passenger transportation by sea-going vessels and ferries61102 Freight transportation by sea-going and coastal water vessels61103 Towing and pushing services61109 Other sea and coastal water transport n.e.c.

Inland water transport

61201 Boat and sampan passenger transport service61202 Inland water freight transport service61209 Other inland water transport n.e.c.

Scheduled air transport

62101 Passenger airline services - domestic and international62109 Other scheduled air transport n.e.c. (Example: helicopter services)


Appendix page - 41

Non-scheduled air transport

62201 Rental services of aircraft with or without operator/aircraft chartering62209 Other non-scheduled air transport n.e.c.

Supporting and auxiliary transport activities; activities of travel agencies

63011 Stevedoring services63019 Other cargo handling services n.e.c.63020 Storage and warehousing services63031 Railway operation services63032 Operation of parking facilities for motor vehicles63033 Highway, bridge and tunnel operation services63034 Vessel salvage and refloating services63035 Port operation services63036 Airport operation services (excluding cargo handling)63039 Other supporting transport activities n.e.c.63041 Travel agency and tour operator services (including tourist guide service)63042 Taxi/limousine boking service63049 Other activities of travel agencies and tour operators, and tourist assistance activities n.e.c.63091 Activities of freight forwarding/forwarding agencies63092 Activities of shipping agencies63099 Activities of other transport agencies n.e.c.

Post and courier activities

64110 National postal service64120 Courier activities other than national post activities

Telecommunications

64201 Telephone services (public and mobile)64202 Television and radio transmission services64203 Data communications service (including network operation)64204 Paging service64209 Other telecommunications services n.e.c.

J FINANCIAL INTERMEDIATION

Monetary intermediation

65110 Central banking65191 Commercial banks65192 Offshore banks65193 Merchant banks65194 Finance companies65195 Discount houses65196 Savings institutions (Example: Bank Simpanan Nasional, Housing co-operatives, Lembaga Urusan Tabung Haji)65197 Development finance institutions (Example: MIDF, Bank Pembangunan Malaysia, Bank Pertanian Malaysia,

Bank Industri Malaysia)65199 Other finance n.e.c.


Appendix page - 42

Other financial intermediation

65910 Financial leasing companies65921 Factoring companies65922 Credit card services65929 Other credit services n.e.c.65991 Holding companies65992 Investment companies65993 Nominee companies65994 Unit trusts

Insurance and pension funding, except compulsory social security

66010 Life insurance (including life reinsurance)66021 Provident funding66022 Pension funding

General insurance (including reinsurance)

66031 Marine, aviation and transit insurance66032 Motor vehicle insurance66033 Fire and other property damage insurance66034 Accident and health insurance66035 Freight insurance66039 Other insurance n.e.c.

Activities auxiliary to finance except insurance and pension funding

67110 Financial market operational and regulatory service (Example: KLSE, SC, KLOFFE, CDS, KLC)67121 Stock, share and bond brokers67122 Commodity brokers and dealers67123 Gold bullion dealers67129 Other financial futures brokers and dealers67191 Foreign exchange service67192 Financial consultancy service67199 Activities auxiliary to finance n.e.c.

Activities auxiliary to insurance and pension funding

67201 Insurance brokerage and agency service67202 Insurance adjusting service67209 Other activities auxiliary to insurance and pension funding n.e.c.

K REAL ESTATE, RENTING AND BUSINESS ACTIVITIES

Real estate activities with own or leased property

70101 Real estate development70102 Real estate operations70200 Real estate activities on a fee or contract basis


Appendix page - 43

Rental of transport equipment

71111 Private cars for hire71112 Rental of motorcycles71113 Rental and leasing of lorries, trucks, trailers and containers71114 Rental and leasing of caravans and campers71119 Rental of land transport equipment n.e.c.71121 Ship and boat leasing (including chartering)71129 Rental of water transport equipment n.e.c.71130 Rental of air transport equipment

Rental of other machinery and equipment

71210 Rental of agricultural machinery and equipment71220 Rental of construction and civil engineering machinery and equipment71230 Rental of office machinery and equipment (including computer)71290 Rental of other machinery and equipment n.e.c.

Rental of personal and household goods n.e.c.

71301 Rental of television sets, video cassette recorders and related equipment and supplies71302 Rental of furniture71303 Rental of video tapes (including compact discs and laser discs)71304 Rental of theatrical equipment71305 Rental of recreational goods n.e.c. (Example: bicycles, saddle horses, pleasure boats, sports equipment)71309 Rental of other personal and household goods n.e.c.

Computer and related activities

72100 Hardware consultancy72200 Software consultancy and supply72300 Data processing service72400 Database activities (including database development, data storage and data preparation)72500 Maintenance and repair or office, accounting and computing machinery72900 Other computer related activities

Research and experimental development on natural sciences and engineering

73101 Research and experimental development services on physical sciences73102 Research and experimental development services on chemistry and biology73103 Research and experimental development services on engineering and technology73104 Research and experimental development services on agricultural sciences73105 Research and experimental development services on medical sciences and pharmacy73109 Research and experimental development services on other natural sciences

Research and experimental development on social sciences and humanities

73201 Research and experimental development services on cultural sciences, sociology and psychology73202 Research and experimental development services on economics73203 Research and experimental development services on law73204 Research and experimental development services on linguistics and other languages73209 Research and experimental development services on other social sciences and humanities


Appendix page - 44

Legal, accounting, book-keeping and auditing activities; tax consultancy; market research and public opinionpolling; business and management consultancy

74110 Legal services74120 Accounting, book-keeping and auditing activities; tax consultancy74130 Market research and public opinion polling74141 Estate management consultancy services74142 General management consultancy services74143 Public relations consultancy services74144 Project management consultancy services74149 Other business and management consultancy services n.e.c.

Architectural, engineering and other technical activities

74211 Architectural consultancy services74212 Engineering consultancy services74213 Land and quantity surveying consultancy services74219 Other architectural and engineering activities and related technical consultancy services n.e.c.74220 Technical testing and analysis

Advertising

74300 Advertising

Business activities n.e.c.

74910 Labour recruitment and provision of personnel services74920 Investigation and security services74931 Building cleaning services74932 Disinfecting and exterminating services74940 Photographic services (commercial and consumer)74950 Packaging services on a fee or contract basis74991 Telephone answering services74992 Bill collecting, credit rating, direct mailing, mail advertisingand similar activities74993 Agency activities for engagements in entertainment or sports attractions74994 Duplicating services74999 Other business services n.e.c.

L PUBLIC ADMINISTRATION AND DEFENCE; COMPULSORY SOCIAL SECURITY

Administration of the state and the economic and social policy of the community

75110 General [overall] public service activities75121 Administrative educational services75122 Administrative healthcare services75123 Administrative housing and local government services75124 Administrative recreational, cultural, arts and sports services75125 Administrative religious affairs services75129 Other community and social affairs services75131 Domestic and international trade affairs


Appendix page - 45

75132 Agriculture and rural development affairs75133 Primary industries affairs75134 Public works affairs75135 Transport affairs75136 Energy, telecommunication and postal affairs75137 Tourism affairs75138 Human resource affairs75139 Other regulation of and contribution to more efficient operation of business affairs n.e.c.75140 Public service activities

Provision of services to the community as a whole

75210 Foreign affairs75220 Military and civil defence services75231 Police service75232 Prison service75233 Immigration service75234 National registration service75235 Judiciary and legal service75236 Fire-fighting service75239 Other public order and safety affairs related services75300 Compulsory social security activities

M EDUCATION

80101 Nurseries and kindergartens80102 Primary schools80210 General secondary education80211 Primary and secondary schools80220 Technical and vocational secondary education80301 College and university education80302 Commercial and other technical institutes80303 Nursing schools80901 Driving schools80902 Music and dancing schools80909 Adult and other vocational education n.e.c.

N HEALTH AND SOCIAL WORK

Human health activities

85110 Hospital services85121 Medical services; example: private clinics (excluding hospital services and paramedic services such as midwife)85122 Dental services85191 Nursing home services85192 Physiotherapy and occupational therapy services85193 Herbalists and homeopathy services85194 Ambulance services85199 Human health services n.e.c.


Appendix page - 46

Veterinary activities

85200 Veterinary services

Social work activities

85311 Welfare services for children (Example: orphanage)85312 Services of homes for the aged85313 Women’s refuge operations85314 Juvenile homes services85315 Home for the handicapped operations85316 Drug rehabilitation homes services85319 Other social work with accomodation85321 Counseling service85322 Alcoholics anonymous society operations85324 Voluntary welfare services for the collection and allocation of funds for welfare purposes85325 Child day care service85329 Other social work activities n.e.c.

O OTHER COMMUNITY, SOCIAL AND PERSONAL SERVICE ACTIVITIES

Sewage and refuse disposal, sanitation and similar activities

90001 Sewage, sanitation and similar activities90002 Refuse disposal services90003 Industrial waste collection and disposal services

Activities of business, employers and professional organizations

91110 Activities of business and employers’ organizations91120 Activities of professional organizations91200 Activities of trade unions91910 Activities of religious organizations91920 Activities of political organizations91991 Civic betterment and community facility support services (including rotary club)91992 Special group advocacy services91993 Services provided by youth associations91999 Other services provided by membership organizations n.e.c.

MOTION PICTURE, RADIO, TELEVISION AND OTHER ENTERTAINMENT ACTIVITIES

92111 Motion picture and video production92112 Motion picture and video distribution92120 Motion picture projection92131 Production of radio programmes92132 Production of television programmes92141 Theatrical producer, singer group band and orchestra entertainment services92142 Services provided by authors, composers, sculptors, entertainers and other individual artists


Appendix page - 47

92149 Ancillary theatrical services n.e.c.92191 Circus, amusement park and similar attraction services92192 cabarets, discotheques and karaoke lounges92199 Other entertainment activities n.e.c.

News agency activities

92201 Printed news supply services92202 Picture supply services92209 Other news agency services

Library, archives, museums and other cultural activities

92310 Library and archives activities92320 Museum activities and preservation of historical site and buildings92330 Botanical and zoological gardens and nature reserves activities

Sporting and other recreational activities

92411 Activities of country and golf clubs92412 Activities of water sports and recreation clubs except country and golf clubs92413 Equestrian clubs92414 Sports event promotions and organizations92415 Sports facility operations services92419 Other sporting services92491 Casting activities [motion pictures, television or theatre productions, recording studios]92492 Recording or taping of sound92493 booking agency activities [in connection with theatrical productions entertainment attractions]92494 Recreation park and beach services92495 Gambling and betting activities92499 Other recreational activities n.e.c.

Other service activities

93010 Washing and (dry-) cleaning of textile and fur products93021 Men’s hair dressing services93022 Ladies’ hair dressing services including services of unisex saloon93023 Beauty services93030 Funeral and related activities93091 Friendship, penpal, matchmaking and dating services93092 Services of massage parlours and health centres (Example: spa, sauna baths)93093 Social escort services93099 Other service activities n.e.c.

Private households with employed persons

95000 Private households with employed persons

Extra-territorial organizations and bodies

99000 Extra-territorial organizations and bodies

NOTE : n.e.c. - not elsewhere classified


Appendix page - 48

APPENDIX H: DIRECTOR GENERAL’S PUBLIC RULINGS

6/2006 Tax Treatment of Legal and Professional Expenses 06/07/2006

5/2006 Professional Indemnity Insurance 31.05.2006

4/2006 Valuation of Stock In Trade and Work In Progress 31.05.2006Part I

3/2006 Property Development & Construction Contracts 13/03/2006

2/2006 Tax Borne by Employers 17.01.2006

1/2006 Perquisites from Employment 17.01.2006

6/2005 Trade Association 08.12.2005

5/2005 Deduction for Loss of Cash and Treatment of 14.11.2005Recoveries

4/2005 Withholding Tax on Special Classes of Income 12.09.2005

3/2005 Living Accomodation Benefit Provided for the 11.08.2005Employee by the Employer

2/2005 & Computation of Income Tax Payable by a Resident 06.06.2005 &Addendum Individual 06.07.2006

1/2005 Computation of Total Income for Individual 05.02.2005

5/2004 Double Deduction Incentive on Research 30.12.2004Expenditure

4/2004 Employee Share Option Scheme Benefit 09.12.2004

3/2004 Entertainment Expense 08.11.2004

2/2004, Benefits-In-Kind 08.11.2004,Addendum & 20.05.2005 &

Second Addendum 07.01.2006

1/2004 Income from Letting of Real Property 30.06.2004

2/2003 “Key-Man” Insurance 30.12.2003

1/2003 Tax Treatment relating to Leave Passage 05.08.2003

1/2002 Deduction for Bad & Doubtful Debts and Treatment 02.04.2002of Recoveries

7/2001 Basis Period for Business & Non-Business Source 30.04.2001(Companies)

6/2001 Basis Period for a Business Source (Individuals & 30.04.2001Persons other than Companies/Co-operatives)

5/2001 Basis Period for a Business Source (Co-operatives) 30.04.2001

Issued/Updated

ComplianceNo

Subject of Public RulingYes

No.


Appendix page - 49

Issued/Updated

ComplianceNo

Subject of Public RulingYes

No.

4/2001 Basis Period for a Non-Business Source 30.04.2001(Individuals & Persons other than Companies)

3/2001 Appeal against an Assessment 18.01.2001

2/2001 Computation of Initial & Annual Allowances in 18.01.2001respect of Plant & Machinery

1/2001 Ownership of Plant and Machinery for the Purpose 18.01.2001of Claiming Capital Allowances

8/2000 Wilful Evasion of Tax and Related Offences 30.12.2000

7/2000 Providing Reasonable Facilities and Assistance 16.06.2000

6/2000 Keeping Sufficient Records 30.06.2001(Revised) (Persons other than Companies or Individuals)

6/2000 Keeping Sufficient Records 01.03.2000(Persons other than Companies or Individuals)

5/2000 Keeping Sufficient Records 30.06.2001(Revised) (Individuals & Partnerships)

5/2000 Keeping Sufficient Records 01.03.2000(Individuals & Partnerships)

4/2000 Keeping Sufficient Records 30.06.2001(Revised) (Companies and Co-operatives)

4/2000 Keeping Sufficient Records 01.03.2000(Companies and Co-operatives)

3/2000 Basis Period for a Business Source (Individuals & 01.03.2000Persons other than Companies/Co-operatives)

2/2000 Basis Period for a Business Source 01.03.2000(Companies & Co-operatives)

1/2000 Basis Period for a Non-Business Source 01.03.2000

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