Montaj Sdn Bhd, a manufacturing company located in Sabah, has been in operation since March 2013. The company manufactures a promoted product and had been granted with investment tax allowance incentives under the Promotion of Investment Act 1986 effective from 1 January 2017.

The forecasted capital expenditure, adjusted income and capital allowances for the three years are as follows

Year ended 31 December

2018 2019 2020

RM000 RM000 RM000

Land 180,000 - -

Factory building 90,000 60,000 -

Plant and machinery 30,000 40,000 60,000

Office equipment 8,000 - 10,000

Adjusted income/ (loss) 52,000 (36,000) 80,000

Capital allowances 26,100 33,300 46,300

Rental income 600 600 600

Required: (a) Determine the tax relief period for the investment tax allowance incentive available to Montaj Sdn Bhd. (1 m)

(b) For the year of assessment 2018-2020, compute the following (14 m):

(i) Chargeable income (if any).

(ii) Amount to be transferred to the exempt income account.

(iii) Amount of unabsorbed business loss to be carried forward to the year of assessment 2021 (if any).