Question

Poopee brand name Solid' which has been duly registered with the relevant authontes. Poopee's issued share capital is RM2,400,000 and all of its shares are owned by Malaysian residents 4. Sdn Bhd is a company producing wood products and has a Malaysian The following information relates to its year ended 31 December 2017 RM000 RM'000 Gross sales Local market Export market (Note 1) Cost of sales Depreciation import duties Freight charges Insurance premiums on exports of cargo (paid to a locally incorporated insurance company) Other deductible expenses Other income 19,000 800 19,800 1,000 10 29 10.859 (11.900) Dividend income from a subsidiary in Langkawi, Malaysia Sale of sundry scrap inventory (stock) Foreign exchange gains from trade receivables (unrealised) General and administration expenses Audit fees Staff remuneration (Note 2) Cash donations to Persatuan Bomoh, an approved institution Staff entertainment expenses Leave passages Selling and distribution expenses Cash contribution to sponsor a local artist's activity (approved contribution) Irrecoverable debt written off on a car ban to an employee Advertisement and promotion expenses to promote the Malaysian brand Solid in Berita Harian 35 1,000 88 1,123 50 2,400 103 18 6 (2,577) 505 39 9 (553) Finance charges Interest expenses Net Income 5,885 Notes: The export sale was made from Poopee 's factory in Shah Alam, Malaysia to a distributor in Brunei. The distributor had not settled the amount of RM800,000 as at 31 December 2015. The total exports for the current year are expected to be not more than 5% of total sales. The staff remuneration comprises salaries of RM2,000,000 and the related employees provident fund (EPF) contributions of RM400,000. The capital allowances claimable for the year are RM1,230,000. The chargable income for year of assessment 2016 is RM13,930. Required

Prepare the tax computation of Poopee Sdn Bhd for the year of assessment 2017. (30 marks)

(NOTE : The computation should be done according to the proper tax computation format)

Answer 1

Solui on net ntom 8,00, 00 o a, 9o,000 6,015, o00 ム97 S, 000 4,00,000 121 30,00 2016. 2A, 58,930