Question 5 (20 Marks) a) Mr Kam died domiciled in Malaysia on 30 September 2019. He had the following sources of income received as follows: a. Business 1 - Adjusted Income RM200,000.00 (for year ended 31 December 2019). b. Business 2- Adjusted Loss RM 100,000.00 (business conducted by executor from 1 October to 31 December 2019). c. Adjusted income foreign RM30,000.00. Remitted RM4,000.00 on 1 November 2019. d Dividend income (gross) received on 1 February 2019 RM8,000.00 e. Dividend income (gross) received on 1 November 2019 RM10,000.00 f. Rental income (net) RM40,000.00 g. Annuities payable RM5,000.00 h. Approved donation (paid on 30 April 2019) RM4,000.00. Required: i. Calculate the total income of Mr Kam and of the estate of Mr Kam for YA 2019. 18 Marks] ii. Calculate the chargeable income of Mr Kam and of the estate of Mr Kam for YA 2019. [2 marks] b) Discuss three (3) indicators of fraud that could prompt a taxpayer's case to be taken up for investigation. [6 Marks] c) SmartCare Sdn Bhd initially estimates its tax payable for the purpose of filing Form CP 204 as RM160,000.00 and it revises the estimate to RM130,000.00 in the ninth month. The actual tax payable is RM200,000.00. Compute the penalty on underestimation of tax payable. [4 Marks) Question 5 (20 Marks) a) Mr Kam died domiciled in Malaysia on 30 September 2019. He had the following sources of income received as follows: a. Business 1 - Adjusted Income RM200,000.00 (for year ended 31 December 2019). b. Business 2- Adjusted Loss RM 100,000.00 (business conducted by executor from 1 October to 31 December 2019). c. Adjusted income foreign RM30,000.00. Remitted RM4,000.00 on 1 November 2019. d Dividend income (gross) received on 1 February 2019 RM8,000.00 e. Dividend income (gross) received on 1 November 2019 RM10,000.00 f. Rental income (net) RM40,000.00 g. Annuities payable RM5,000.00 h. Approved donation (paid on 30 April 2019) RM4,000.00. Required: i. Calculate the total income of Mr Kam and of the estate of Mr Kam for YA 2019. 18 Marks] ii. Calculate the chargeable income of Mr Kam and of the estate of Mr Kam for YA 2019. [2 marks] b) Discuss three (3) indicators of fraud that could prompt a taxpayer's case to be taken up for investigation. [6 Marks] c) SmartCare Sdn Bhd initially estimates its tax payable for the purpose of filing Form CP 204 as RM160,000.00 and it revises the estimate to RM130,000.00 in the ninth month. The actual tax payable is RM200,000.00. Compute the penalty on underestimation of tax payable. [4 Marks)