1. Differentiate between direct taxation and indirect taxation. [10 marks] 2. Not all types of income are subjected to income tax. Provide with an example the types of income subjected to income tax under Income Tax Act 1967.

3. Explain the concept of capital expenditure in tax law. [10 marks] 4. Explain the concept of withholding tax as practiced in Malaysia [10 marks] 5. Explain the concept of Special classes of income in Malaysian Tax Law. [10 marks]