Taxation of Individuals

Sam is the sole proprietor of a trading business. Details of his income for the year 31 December 2020 are as follows: Trading business Statutory income of RM45.000 Real properties He owns a semi-detached house which was let for the first time on 1 July 2020. Details of the property are as follows: RM Semi-detached house Gross rental from 1 July 2020 to 31 December 2020 4.000 per month Quit rent 1 January 2020 to 31 December 2020 200 Assessment 1 January 2020 to 31 December 2020 600 Royalties of RM13,000 from the sale of CDs recorded by him as a musician. Single-tier dividend received from GBS Bhd of RM15.000 on 30 June 2020. He donated a dialysis machine costing RM22.000 to a kidney centre approved by the Ministry of Health. The value of the gift was certified by the Ministry of Health at RM22.000 Sam and his wife went for fertility treatment at a Specialist Hospital in Bangsar. Sam paid RM8.000 for the treatment for the year 2020. Susan Susan, wife of Sam, is a director (not a service director) of a controlled company. She has the following income for the year ended 31 December 2020. RM Salary 48,000 per annum Entertainment allowance 6,000 per annum Petrol allowance 12,000 per annum Director's fees 10,000 She was provided with a company car (without petrol benefits) as follows: A six-year old Honda costing RM140,000 when new from 1 January 2020 to 30 September 2020. A new Toyota costing RM105,000 and a driver from 1 October 2020 to 31 December 2020. She and her family live in a semi-furnished house provided by the company. The defined value for accommodation is RM36,000 and furnishings per the Inland Revenue Board public ruling is RM1,680 per annum. She made the following claims in her income tax return: RM Employees Provident Fund contributions 7,040 Insurance premium on her life 800 Insurance premium for her own medical benefits 3,315 Entertainment expenses incurred in entertaining clients 8,300 Petrol expenses in performance of duties 5,000 Annuity insurance premium 1,500 A private retirement fund approved by the securities commission 1,800 Required Compute the chargeable income of Sam and Susan for the year of assessment 2020