this is related with HK tax rules

Mr Lee worked in XYZ Ltd as financial controller in Hong Kong. On 31 March 2019, Mr Lee was terminated by XYZ Ltd, effective 1 April 2019. Mr Lee has signed an agreement to waive any right of claim against XYZ Ltd, and in return for such an agreement, he was paid a termination payment of $200,000, together with a payment in lieu of notice of $300,000 For the year ended 31 March 2019, Mr Lee had the following income and expenditure. 1 His monthly salary was $100,000, with 8% deducted as a contribution to a registered retirement fund. 2 A year-end bonus of $150,000 was paid in the month of December 2018. 3 Due to an accident, Mr Lee was hospitalized for one week in June 2018, for a total hospital bill of $250,000. A reimbursement of medical claim in the sum of $200,000 from BIG Insurance was paid to Mr Lee's bank account. XYZ Ltd bought a group employee medical plan for all of its employees. The annual premium paid to this plan for each staff member was $3,000. At the end, XYZ Ltd reimbursed the under-covered hospital bill of $50,000 to Mr Lee. XYZ Ltd has provided a motor car for Mr Lee to use. Mr Lee used the car for both business and private use with the ratio of 60:40 as agreed with the Inland Revenue Department. XYZ Ltd reimbursed all the petrol bill, which amounted to $20,000 for the whole year. 5 Mr Lee spent $120,000 during the year to join Hong Kong Jockey Club. He also paid an annual membership fee of $12,000. Mr Lee met many of his customers in this club. A shareholder of XYZ Ltd reimbursed Mr Lee for half of the joining fee. 6 During the period from 1 April 2018 to 30 September 2018, Mr Lee and his family lived in a flat for a rental payment of $40,000 per month, of which $30,000 was reimbursed by XYZ Ltd. From 1 October 2018 onwards, the family moved into a property purchased by Mr Lee, with a staff loan financed by XYZ Ltd. The total interest paid for the staff loan was $120,000 for 2018/19. If a market interest had been charged, the interest cost would have been $150,000. 7 Since Mr Lee moved into his own property, the electricity bill of $9,000 was reimbursed by XYZ Ltd. 8 Mr Lee paid $150,000 for a part-time MBA course in the Open University of Hong Kong. 9 Mr Lee paid the following annual membership fees during the year: the Association of Chartered Certified Accountants $3,000 and the Hong Kong Jockey Club $12,000. 10 Mr Lee made a monthly contribution of $1,000 to an approved charitable organization. 11 Mrs Lee is a housewife. Mr and Mrs Lee have two children. The elder child is five and the younger child was born in January 2019. 12 Mrs Lee's mother, aged 65, who lives in her own apartment in Hong Kong, is maintained by Mrs Lee. 13 Mr Lee's father, aged 55 and disabled, lives in a nursing home in Hong Kong. The total nursing home bills amounting to $150,000 was paid by Mr Lee. Required a Explain how fringe benefits are assessed in Hong Kong for salary tax purposes. (30 marks) Compute the assessable income, net assessable income, net chargeable income and salary tax payable of Mr Lee for the years of assessment 2018/19 (ignore any provisional tax or once-off deduction) (70 marks) Mr Lee worked in XYZ Ltd as financial controller in Hong Kong. On 31 March 2019, Mr Lee was terminated by XYZ Ltd, effective 1 April 2019. Mr Lee has signed an agreement to waive any right of claim against XYZ Ltd, and in return for such an agreement, he was paid a termination payment of $200,000, together with a payment in lieu of notice of $300,000 For the year ended 31 March 2019, Mr Lee had the following income and expenditure. 1 His monthly salary was $100,000, with 8% deducted as a contribution to a registered retirement fund. 2 A year-end bonus of $150,000 was paid in the month of December 2018. 3 Due to an accident, Mr Lee was hospitalized for one week in June 2018, for a total hospital bill of $250,000. A reimbursement of medical claim in the sum of $200,000 from BIG Insurance was paid to Mr Lee's bank account. XYZ Ltd bought a group employee medical plan for all of its employees. The annual premium paid to this plan for each staff member was $3,000. At the end, XYZ Ltd reimbursed the under-covered hospital bill of $50,000 to Mr Lee. XYZ Ltd has provided a motor car for Mr Lee to use. Mr Lee used the car for both business and private use with the ratio of 60:40 as agreed with the Inland Revenue Department. XYZ Ltd reimbursed all the petrol bill, which amounted to $20,000 for the whole year. 5 Mr Lee spent $120,000 during the year to join Hong Kong Jockey Club. He also paid an annual membership fee of $12,000. Mr Lee met many of his customers in this club. A shareholder of XYZ Ltd reimbursed Mr Lee for half of the joining fee. 6 During the period from 1 April 2018 to 30 September 2018, Mr Lee and his family lived in a flat for a rental payment of $40,000 per month, of which $30,000 was reimbursed by XYZ Ltd. From 1 October 2018 onwards, the family moved into a property purchased by Mr Lee, with a staff loan financed by XYZ Ltd. The total interest paid for the staff loan was $120,000 for 2018/19. If a market interest had been charged, the interest cost would have been $150,000. 7 Since Mr Lee moved into his own property, the electricity bill of $9,000 was reimbursed by XYZ Ltd. 8 Mr Lee paid $150,000 for a part-time MBA course in the Open University of Hong Kong. 9 Mr Lee paid the following annual membership fees during the year: the Association of Chartered Certified Accountants $3,000 and the Hong Kong Jockey Club $12,000. 10 Mr Lee made a monthly contribution of $1,000 to an approved charitable organization. 11 Mrs Lee is a housewife. Mr and Mrs Lee have two children. The elder child is five and the younger child was born in January 2019. 12 Mrs Lee's mother, aged 65, who lives in her own apartment in Hong Kong, is maintained by Mrs Lee. 13 Mr Lee's father, aged 55 and disabled, lives in a nursing home in Hong Kong. The total nursing home bills amounting to $150,000 was paid by Mr Lee. Required a Explain how fringe benefits are assessed in Hong Kong for salary tax purposes. (30 marks) Compute the assessable income, net assessable income, net chargeable income and salary tax payable of Mr Lee for the years of assessment 2018/19 (ignore any provisional tax or once-off deduction) (70 marks)