Based on Malaysia Taxation System Law

Based on Malaysia Taxation System Law

QUESTION 1 A Brian, a Canadian engineer took up an employment contract with Malaysian company. His periods of stay in Malaysia are as follows: Note Year 2015 Period of stay 1 June 2015-10 September 2015 Number of days 102 2016 15 February 2016 - 10 March 2016 21 July 2016 - 20 December 2016 30 153 1 2 2017 1 January 2017-15 January 2017 15 2018 12 August 2018 - 12 November 2018 93 2019 January 2019-22 May 2019 27 May 2019 - 23 October 2019 142 150 2020 24 January 2021-30 July 2021 189 3 Notes: 1. Brian went back to Canada in order to seek medical attention for his lung cancer from 11 March 2016 to 20 July 2016. 2. He attended a finance conference from 21 December 2016 to 31 December 2016 in India. 3. Brian decided to end his contract earlier and returned to Canada on 30 July 2020. Required: i. Determine the residence status of Brian for the relevant years of assessment up to the year of assessment 2020. Quote the relevant provisions of the Income Tax Act 1967and give reasons for your answer. ii. Discuss the consequences if Mr Brian failed to settle his tax upon leaving Malaysia. iii. Advise Mr. Brian on the importance of determining tax residence status of an individual for the purpose of Malaysian Income Tax. B. After completing E-Filing tax return form for year of assessment 2019, Puan Elina decided to dispose all her unwanted documents including some receipts and bills pertaining to her tax matters. Required: Advise Puan Alina on the compliance requirement and penalty on the above matters with regards to the Income Tax Act 1967. QUESTION 1 A Brian, a Canadian engineer took up an employment contract with Malaysian company. His periods of stay in Malaysia are as follows: Note Year 2015 Period of stay 1 June 2015-10 September 2015 Number of days 102 2016 15 February 2016 - 10 March 2016 21 July 2016 - 20 December 2016 30 153 1 2 2017 1 January 2017-15 January 2017 15 2018 12 August 2018 - 12 November 2018 93 2019 January 2019-22 May 2019 27 May 2019 - 23 October 2019 142 150 2020 24 January 2021-30 July 2021 189 3 Notes: 1. Brian went back to Canada in order to seek medical attention for his lung cancer from 11 March 2016 to 20 July 2016. 2. He attended a finance conference from 21 December 2016 to 31 December 2016 in India. 3. Brian decided to end his contract earlier and returned to Canada on 30 July 2020. Required: i. Determine the residence status of Brian for the relevant years of assessment up to the year of assessment 2020. Quote the relevant provisions of the Income Tax Act 1967and give reasons for your answer. ii. Discuss the consequences if Mr Brian failed to settle his tax upon leaving Malaysia. iii. Advise Mr. Brian on the importance of determining tax residence status of an individual for the purpose of Malaysian Income Tax. B. After completing E-Filing tax return form for year of assessment 2019, Puan Elina decided to dispose all her unwanted documents including some receipts and bills pertaining to her tax matters. Required: Advise Puan Alina on the compliance requirement and penalty on the above matters with regards to the Income Tax Act 1967