Hi there, I would like to ask, do I need to include COLA as taxable amount?

I have signed the S&P agreement on July 2009, I am currently staying in the house, BUT the house still not under my name yet. It is still under progress to transfer the house/title to my name, so it is consider I am renting the house from the owner.

In this case, do I entitle for this tax relief?

Yeap, i agree with you.

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Added on March 29, 2012, 11:35 pmUnder whose name also can as long as the relief is made by you and your siblings.

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Added on March 29, 2012, 11:37 pmWhat type of receipts that you have lost?

This post has been edited by Izac Yeoh: Mar 29 2012, 11:37 PM

Relief is for interest paid on housing loan. Your senario is not logical if property is still under name of previous owner how come you have loan to service at same time pay rent? Wah you pay purchase price to owner and still have to pay rent. Do you want to buy my house?

Last time we have an argument with the IRB's officer on the broadband relief. For them broadband are those portable modem but not streamyx. Weird. I do know what is their latest stand now. Apart from my role as a tax consultant, personally i claimed this relief on my streamyx bill as well. I do not agree on their theory.

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Added on March 29, 2012, 11:44 pmYa. Agree. They accept electronic supporting document too but the original still cannot throw. Must keep. If not they have the right to deny your claim.

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Added on March 29, 2012, 11:45 pmYes. COLA itself is a taxable income.

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Added on March 29, 2012, 11:51 pmAs long as you have incurred interest expense on that property, i do not see a problem to make a claim on the relief. The condition of "the property cannot rented out" is you cannot rent it out to a third party. Because if you rent it out, you will claim the interest expense as a direct expenses and fully offset against your rental income. If you make a claim on the relief again, you have double claimed so the IRB not allow it. For you case you did not rent it out to a third party and do not derive any rental income on that property, will not be a problem to make the relief claim.

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Added on March 29, 2012, 11:54 pmHi all, whoever need any tax consultant urgently. Please pm me and i will try to reply you as soon as i can.

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Added on March 30, 2012, 12:05 amIt is possible. When the time of transfer, bank may have ald release the payment to the seller but the buyer still cannot get the house yet due to the transferring of land title especially leasehold property. But since the bank have release the loan, the buyer need to pay the interest although the house is legally not belong to the buyer yet. Then if you need a place to stay urgently, the seller can actually rent it out to the buyer until the title is successfully change. Some seller is good enough to just let you stay without to pay any rent.

This post has been edited by Izac Yeoh: Mar 30 2012, 12:05 AM

Ok. Thanks for the answer.

Hi buddy, can we claim from previous year dividend, eg. I'm entitled few dividend in 2009 which has tax, but I forgot to claim, can I claim the previous dividend's tax this year filing, thanks in advance

Can, the source of income put "dividend" then put in the gross before deducting the tax. But definitely the IRB will send you a notice of assessment for the prior year. Make sure your previous tax return has been finalised if not if u need to refund the credit available due to Section 110 credit, might have audit on your return.

is it, so no need fill up in the HK3 section during current filing,

It's possible as the new owner need a place to stay while waiting for the change name of land title.

You have your rights to question LHDN on the -RM500

LHDN also have their rights to audit your past 7-years tax related

If you have prepared everything in order and valid, there is nothing to be afraid of the audit.

So does the IRB accept streamyx as broadband?
Just check LHDN websites, as long as speed above 256Kb considered broadband.

They request that I send in the original for audit but advise me to keep hardcopy/scanned copies. Didn't ask them whether can send them electronic copies instead. Anyone did that?

This post has been edited by MGM: Mar 30 2012, 01:19 PM

Scan and post the letter here (black-off the P&C) if you want to share.
Otherwise have to read the exact words if "original document" or anything mention there.
Previously all must submit/send original, and you keep photocopy.
But with latest advancement, not sure on the ruling.

I suggest you hand-submit over the counter yourself (yes, drive all the way) and ask them chop-sign all your photocopies. There are cases where it is lost in mail, and LHDN still require to see the photocopies, and I'm not sure they'll accept it or not.

I do not think it is needed for the current filing. You just declare first then they will send you a notice of assessment. Most properly you will a credit in the notice of assessment and if subsequently if you wan to request for a refund on the tax credit, then only you need to submit the HK-3 and dividend voucher for their verification.

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Added on March 30, 2012, 4:50 pmDifferent officer got their different thought. But with that technical guideline, i think shd be sufficient to argue that streamyx is a broadband. Just go for it!!

Ya, u must give original and you keep a photostat copy. Is better to bring along the photocopy together with the original and ask the officer to acknowledge every single document u send in. In the case they lost it, the acknowledge copy can be your supporting document. If not, honestly they will not responsible for it and the responsible to prove any claim you made is still on you!

The electronic copies which i mentioned only use as supporting document when the the ink in the original has faded and u can see nothing. But for most of the cases, must submit original.

This post has been edited by Izac Yeoh: Mar 30 2012, 04:50 PM

Are you in Govt service or private sector? IF govt COLA is tax exempt.

hi,
my dad didnt declare the dividend(public mutual) for the year 2010.can he declare it this year?can i know which part he must declare?

thanks

For business (sole proprietorship), upon reaching aggregate income, is it possible to deduct business loss from my employment income? Some says can other begs to differ as employment income has to be independent, unlike other income frm rental, dividend and interest can be use to offset the business loss.

Only for current year business loss(adjusted), it can be used to offset ANY current year income.

Dear all,

I'm in the totally unpleasant process of preparing my taxes and need help

1. Do I need to submit my dividend voucher together with BE Form and Working Sheet HK3?

2. In section C2 (Dividends) of BE Form, I need to put in the gross dividend (not net), correct?

3. In Working Sheet HK3:
(i) Do I need to fill up Section B if the tax rate on the dividend voucher is 25%? Or leave it blank?

(ii) "Section C (ii) Interest on loan" refers to interest on share margin financing?

Please advice

hi,can i noe how much % deduct from AI for approved donation, is 7% or 10%?if i not mistaken got 10% deduct for approved donation.