Question
Ali is a Malaysian citizen. He started working as a financial consultant in February 2021 and he brings home a total of RM 5800 in
Ali is a Malaysian citizen. He started working as a financial consultant in February 2021 and he brings home a total of RM 5800 in salary (monthly) after deducting EPF in year 2021. On top of this salary, he has invested RM 50,000 in taxable investments and earned 12% in year 2021.
i) Please compute the total income he needs to declare in his tax filling for year 2021. (4 marks)
ii) During year 2021, aside from individual tax relief worth RM 9,000, Ali had purchased several items that can be considered for tax relief.
The following are some items that Ali purchased that can be considered for tax relief:
Item RM MBA courses (1 year) 1,500
Internet 2,000
Covid-19 RTK test kits 100
Gym membership 1,000
Laptop 2,000
Life insurance 2,000
Medical insurance 1,000
EPF 4,500
Compute the total taxable income and amount of individual tax that Ali must pay for year 2021. (6 Marks)
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