Email $2$ of $2$

From: Ms$.$ Louw

Sent : $3$ June $2024$

To: Professional Accountant

Subject: Request for Memo on the deductibility of the recently acquired software in terms of the

Income Tax Act

Dear Professional Accountant

I hope this message finds you well. We need to communicate critical information to our Audit Committee regarding the income tax deductibility of the total cost of the software update in terms of s$11($a$)$ of the Income Tax Act.

I want to ensure that LamLam benefits from the best possible treatment of the software costs for tax purposes and have proposed that such cost be deducted in full in the $2025$ year of assessment. Please prepare a memorandum to the audit committee in which you identify alternative tax treatment of the software cost and recommend the most appropriate treatment.

Your understanding of our financial operations and regulatory compliance makes you well$-$suited for this assignment.

Kind regards

Ms$.$ Louw CA$($SA$)$

Chief Financial Officer