Q.
Capital allowance is an allowance allowed by the Inland Revenue Board to replace the fixed asset depreciation deductible from the gross business income. Explain two (2) following components of capital allowance
(a) Initial allowance
(b) Yearly allowance (10 marks)
Income arising from property, movable or immovable, situated in Malaysia is taxable under Sec 4(d) of the Income Tax 1967. Rental income has always been considered as a non-business source. Using appropriate example explain what are the deductible expenses from Rental. (15 marks)
(25 marks, 2022 Q5)