Mr. siri worked in a manufacturing Company for 15 years and retired on March 2018 at his age of 65 years. He was the Managing Director of that Company when he retired. Presently he works as a non-executive Director of a Small medium level public company. His duties are attending Audit committee meetings and other meetings with relation to accounting on monthly basis and receive an allowance of Rs. 250,000/- per month. A house which he owns is given on a monthly rent to a family and earns Rs. 100,000 per month. Before the retirement, Mr. Nimal has invested on Fixed Deposits of Rs. 50 million with one- year maturity. He received Rs. 3 million interest in February 2019. Further he had invested in quoted corporate shares and sold all the shares in December 2019. (Investment cost Rs. 2 million, Sales Proceeds Rs. 3.5 million). Requirement:

(1) Discuss the tax implications of Mr. Nimal and advise him on his Income tax liability for the Y/A 2018/19. ( Hint: marks will be allocated to compute the Income tax liability ) Mr. sirui wants to convert his rental income operation in to a Limited liability company.

(2) Discuss the advantages and disadvantages of converting this rent income operation to a limited liability company in terms of taxation point of view. Mr. siri wants you to clarify the following-

(3) Where the year of assessment ending on 31st March 2019. What are the due dates of installment payments and return submission?

4) Can he consider any final WHT payment as a deduction in calculating the amount of income tax liability