Mr. Aiman commenced employment with Padu Development Sdn. Bhd. in Pekan, Pahang as a construction consultant on 1 July 2021. For the year-ended 31 December 2021, he was paid a gross monthly salary of RMB, 400. His share of Employees Provident Fund (EPF) monthly contribution during the year was RM924. As a manager, he is entitled to a one-month bonus for the year 2021, which will be paid half-yearly starting from 31 December 2021. During the first two months in Pekan, Pahang, he was provided with accommodation in a hotel and for the next three

months in a semi-furnished condominium with furniture in the dining room and air-conditioner. The rent paid for the condominium by the employer was RM3,150 per month. Other benefits provided by the company for the period 1 July 2021 to 31 December 2021 were as follows:

	RM
Annual subscription for recreational club corporate membership	3,250
One leave passages to Ireland	3,313
A life insurance policy on the life of Aiman	1,200
Traditional medicine treatment by a registered medical practitioner	3,000
Travelling allowance for official duties	5,330

Aiman also derived the following income for the year of assessment 2021:

Annuity from his late grandfather's estate amounted to RM24,000.

Net dividend from TROX (Germany) GmbH amounted to RMB,800 remitted to Malaysia.

Royalty from book publication "Political Issues in Malaysia" amounted to RM22,550.

Aiman is a divorcee with a daughter ca/led Athira. Aiman and his ex-wife obtained shared custody of Athira aged 18 years old and is pursuing a diploma course at the Sunway University in music. Aiman incuffed RMB, 100 and his ex-wife incuffed RM18,900 on the child's maintenance in the year 2021. Aiman married his second wife, Mrs Amalina on 25 December 2021, a 40-year-old legal executive employed by Edotco Bhd. since 1 January 2017. Her service was terminated on 30 April 2021 and she was paid a gratuity amounted to RM55,000. Amalina had been working for a subsidiary of the company since 1 January 2015 prior to taking up employment with Edotco Bhd. Her final drawn monthly salary amounted to RM7,200. Her share of EPF contribution for the salary received is RM792 per month. Throughout the year 2021, Amalina was provided with the free use of a six-year-old car that cost RM93,000 when new, together with fuel and a driver. After the termination, Amalina is considering setting up her own business by early next year. For the time being, she is currently pursuing a full-time master degree at a local university. Amalina has a disabled adopted child, Aulia, aged 5 years old. She incuffed payment for child care fees to a registered child care centre amounted to RM2,600 for the year 2021. Other details regarding the expenditure of Aiman and his wife, Amalina for the year ended 31 December 2021 are as follows:

	Aiman	Amalina
Medical expenses for fertility treatment		7,780
Medical expenses for her mother		4,995
Vaccination expenses	790	280
Personal computer	2,440	2,009
Purchase of sport equipment	500	800
Zakat payment	600	200
Fees expended for a master degree		7,400
Cost of a wheelchair for disable child		3,780

Based on the information provided, you are required to:

a) Compute the income tax payable by Mr. Aiman under joint assessment for the year of assessment 2021. Mrs. Amalina has elected to be assessed with her husband income.

Note: You should indicate by the use of the word 'nil' any item referred to in the question for which no adjusting entry needs to be made, including any relief or rebate, in the tax computation.

(28 markah/marks)

b) Based on the above scenario, would it be better if Mr. Aiman and Mrs. Amalina opted for a separate assessment. Provide three (3) reasons to support your statement (no computation is required).

(4 markah/marks}

c) Briefly discuss on the chargeability to income tax on the payments/ benefits received by Mr. Aiman. Outline the scope of s13(1)(a) and s13(1)(b) of the Income Tax Act, 1967 in relation to the assessment of gross income from the employment.

i) Club subscription

ii) Life insurance policy on the life of an employee