Taxation Assignment

Question 1: a>Tax treatment to an individual if his employer was to provide the following benefits in package 1: Rental of apartment $ Salary Airfare for home leave (1trip) (20% x 5000) 1,000 220,000 Employee’s remuneration 221,000 Rental of apartment (housing accommodation benefit) for a non- director will be assessed based on the lower of: the annual value of the accommodation provided or 10% of the employee’s remuneration inclusive of all other benefits except hotel accommodation.Therefore, housing benefit will be assessed at $22,100 because it is assessed based on the lower of (10% x 221,000= $22,100) or annual value of rental apartment of $60,000. Home leave passage According to Singapore tax law, home leave passage is provided by the employer to nonSingaporeans and non-permanent residents, the benefit is assessable to tax based on 20% of the cost to the employer.This concessionary treatment only can apply to ONE return leave passage per annum each for the employee and spouse, and TWO return passage for each child of employee per annum if child should be unmarried, under 16 years old or otherwise receiving full-time education or incapacitated. Therefore, in this package 1, Mr Rouse will be assessed for home leave passage at: 20% x 5,000= $1,000 Relocation passageAccording to Singapore tax law, relocation passages are by concession not a taxable benefit on the employee so that all the relocation expenses is not taxable benefit for Mr Rouse. b> Package 1: $ Salary Annual rental of apartment Home leave passage (20% x 5000) Statutory income Less: donation Assessable income Less : Relief Chargeable income Tax on 1st $160,000 Balance @ 17% (238,100 – 160,000) x 17% 220,000 22,100 1,000 243,100 NIL 243,100 (5,000) 238,100 15,500 13,277 28,777 Less : 20% tax rebate (capped at $2000) Net tax payable (2,000) 6,777 Package 2: $ Salary Statutory Income Less: donation Assessable income Less: Relief Chargeable income Tax in 1st $160,000 Balance @ 17 % 17% x (295,000-160,000) 300,000 300,000 NIL 300,000 (5,000) 295,000 15,500 22,950 38,450 Less : 20% tax rebate (capped at $2,000) Net tax payable (2,000) 36,450 c> Mr Rouse should choose package 1 because in this package, he can receive many benefits as well as many concessionary treatments that can reduce the net tax payable, in order to get higher return than in package 2. > Singapore is a country where the government uses many policies that include many benefits, treat with consideration to attract talents from many the other countries and tax law is not the exception. Therefore, Mr Rouse should choose or ask more benefits instead of only high salary such as house accommodation benefit, home leave passage, relocation passage, transportation benefit, etc†¦. to earn many concessionaries to minimize his statutory income as well as to reduce tax payable. Question 2: a>The relevant dates in shareholder’s continuity test are different for unabsorbed capital allowances and trade losses and donation.Unabsorbed capital allowances can be carried against future profits provided the shareholdings are substantially the same (50% or more) in the 2 relevant dates: The last day of the YA (31 Dec) it arose And The first day of the YA (1 Jan) it is utilized Trade losses and donations can be carried against future profits provided the shareholdings are substantially the same (50% or more) in the 2 relevant dates: The last day of the year it arose (31 Dec of the calendar year) And The first day of the YA it is utilized (1 Jan of YA) b> YA 2008: – Adjusted tax loss (trade loss) YA 2009: – Adjusted profit $40,000 $422,000The shareholders of Feathers Pte Ltd based on % are as follows: 31/12/2007 Ee Mei Sarah 60% 40% 30/9/2008 40% 60% 31/12/2008 40% 60% 1/1/2009 10% 90% Assumption: on 1 Jan 2009, Donald still holds 5000 shares (total shares are 50,000 shares) Therefore, Queens’s shareholders and their shareholdings are as follows: Number of share 31/12/2007 Donald Ee Mei Ee Mei 25,000 20,000 60% x 5,000 = 3000 Sarah 40% x 5,000 = 2000 Total number of 50,000 shares 30/9/2008 5,000 10,000 40% x 35,000 = 14,000 60% x 35,000 = 21,000 50,000 s at 31/12/2008 5,000 10,000 40% x 35,000 = 14,000 60% x 35,000 = 21,000 50,000 1/1/2009 5,000 40,000 10% x 5,000 = 500 90% x 5,000 = 4,500 50,000 Two relevant dates in shareholder’s continuity test for trade loss are 31 Dec 2007 and 1 Jan 2009. Queens’s shareholders and their shareholdings in % as follows: 31/12/2007 Donald Ee Mei 50% {(20,000 + 3,000)/ 50,000} x 100% = 46% Sarah (2000/ 50,000) x 100% = 4% 100% 1/1/2009 10% {(40,000 + 500)/ 50,000} x 100% = 81% (4,500/ 50,000) x 100% = 9% 100%Previous year’s trade loss (adjusted tax loss) in YA 2008 can be carried against YA 2009 current year’s profit because the shareholdings are substantially the same (50% or more) in the two relevant dates of 31/12/2007 and 1/1/2009. YA 2009: $ Adjusted profit Less: trade loss brought forward 422,000 (40,000) Assessable income/ chargeable income 382,000 > Conditions to qualify for the tax exemption for new start-up company: A â€Å"qualifying company† means a company incorporated in Singapore which for each of the first three years of assessment is resident in Singapore for that YA, and has its total share capital beneficially held directly by no more than 20 shareholders: ? ? All of whom are individuals throughout the basis period for that YA or At least one of whom is an individual shareholder holding at least 10% of the total number of issued ordinary shares of the company throughout the basis period for that YA.In the case of a company limited by guarantee: ? ? all of its members must be individuals throughout the basis period for that YA or at least one of its member is an individual throughout the basis period for that YA, and the contribution of that individual under the Memorandum of Association of the company to the assets of the company in the event of its being wound up, amounts to at least 10% of total contributions of the members of the company throughout the basis period for that YA.Question 3: a>The Singapore tax system is considered as a territorial system because income accruing in or derived from Singapore (Singapore sourced) or overseas income received or deemed received in Singapore is assessable to tax. In other words, income that is sourced outside Singapore is not chargeable to Singapore income tax if this overseas income is not received or deemed received in Singapore.One exception to this rule is dividend gain in Singapore. Under the new one-tier corporate tax system since 1 January 2003, tax will only be imposed at the corporate level and all dividends distributed by a Singapore tax resident company will be tax exempt for its shareholders. b> Assumption: basic period is 1/1/200x to 31/12/200x Ms Dinh Tam’s 2-year contract will be from 1/4/2006 to 31/3/2008.Year assessment of Physical presence in Residence Singapore/ period of employment YA 2007 1/4/2006- 31/12/2006 Resident Exercise of employment in Singapore is more than 183 days in the basic period YA 2008 1/1/2007- 31/12/2007 Resident Exercise of employment in Singapore is more than 183 days in the basic period YA 2009 1/1/2008- 31/3/2008 Non-resident Both periods of employment and physical presence are less than 183 days. Remarks c> Mr Tan KL, a Singapore resident, purchased a house in China. He rents it out and the rent is credited into his bank account in Hong Kong by the property agent.It means he receives a rental income in China and this income may be subject to tax in China remitted to Singapore is exempt from Singapore tax. In addition, according to Singapore tax law, all foreign sourced income remitted by INDIVIDUAL RESIDENT in Singapore on or after 1 January 2004 will be exempt from tax. d> Determine whether the following receipts would be considered as income for tax purposes: i>This income will be exempt from tax if Ah Kow is Singapore resident because this income may be taxed in Macau remitted to Singapore is exempt from Singapore tax.In addition, according to Singapore tax law, all foreign sourced income remitted by INDIVIDUAL RESIDENT in Singapore on or after 1 January 2004 will be exempt from tax. ii>   Profits made by a share broker from sale of shares is taxable income because shares are considered as his inventory to make profit therefore it is called revenue receipt for this share broker and that is subject to Singapore tax. iii> Samantha Lee, a teacher made a profit from the sale of her piano is exempt from tax if this piano is her fixed asset and Samantha Lee doesn’t repeat piano buy and sale transaction many times.It means this profit is capital receipt, not revenue receipt and so that it is not taxable. iv> Money received from an unlawful business in Singapore is taxable income because it is revenue receipt and income derived in Singapore so that it is subject t o tax in Singapore. v> Money received from sale of computer by a private school is exempt from tax because computer is considered as fixed asset of this private school. It means this income is capital receipt that is not taxable income.

What were the causes of the collapse of the Soviet Union Essay

What were the causes of the collapse of the Soviet Union - Essay Example 149). There are others who propound the theory that the Soviet Union had been deliberately dismantled. In their opinion, this system would have continued; but for the destructive acts of some individuals. This conjecture results in the question of who had been responsible for the collapse of the Soviet Union. The erstwhile Communists of Moscow have held that Gorbachev was the sole cause for this unwelcome development (Ekedahl and Goodman, 1998, p. 149). Yeltsin embarked upon a program of consolidating his power. In this endeavour, he acted with great haste, and this had a major contribution to the disintegration of the USSR. Gorbachev also played a major, but unintended role in the process of disintegration. Some of the reasons for the dismantling of the Soviet Union are the liberalization of the system, and its democratization; and permitting the Eastern European countries to claim independence. In addition, the Soviets did not employ force against those seeking self-determination, this proved to be highly encouraging for those seeking self rule (Brown, 2007, p. 318). Prior to Gorbachev’s rule, any expression of nationalism was dealt with very severely. Some of the modes of punishment for such activity were arrest, imprisonment, exile to Siberia, or even execution. Gorbachev liberalised the system and provided the opportunity for democracy to flourish in the Soviet Union. These measures resulted in the disintegration of the USSR (Brown, 2007, p. 319). The Second World War was highly damaging for the Soviet Union. The innumerable executions of persons suspected of being dissidents, had a number of adverse effects on the Soviet system. The Red Army’s leadership was incompetent, it was poorly armed and troop morale was at its nadir. The extant transport arrangements were woefully inadequate, and this led to serious shortages, all over the country (Kenez, 2006, p. 133). The dissolution of the Soviet Union was accompanied with considerable bloodshed,

The Relationship Between Smoking and SelfEsteem Essay

The Relationship Between Smoking and SelfEsteem - Essay Example In "Relationship Between Self-esteem and Smoking Behavior Among Japanese Early Adolescents (1999)," the authors define self esteem as "an evaluative term that reflects a persons perceptions about his or her personal characteristics and abilities" (p.1). In keeping with this definition, it is appropriate to discuss the ways that "self perception" is most unstable and negative during adolescence. Because this is the case, many studies focus specifically on self-esteem and its influence on one's decision to smoke during adolescence. Because studies have adequately demonstrated that long term smoke use often starts in the teen years, it is appropriate to focus on adolescent smokers and on why they were initially drawn to the habit, even with the understanding of its health risks and taboo-like nature. Although my own research will seek to demonstrate the connection between low self-esteem and smoking in college students rather than adolescents, it still remains relevant to explore the re asons why individuals initially take up smoking. Typically, these are many of the same reasons that these same individuals continue to smoke, and so this research will remain relevant through these same individuals' college years, giving way to my own research, which seeks to prove this connection among college students. So, given these reasons, this paper specifically explores smoking and self-esteem in adolescence in terms of the correlation between low self-esteem and initially starting to smoke. In their article, authors' Kawabata, Cross, Nishioka, and Shimai (1999) echo this idea when, after conducting in depth studies about self esteem and smoking, they report that, "One of the most important findings from this study is that self-esteem may be a factor associated with the initiation of smoking among early adolescents of both genders" (p.4) Many studies have proven that low self-esteem is linked to several risk taking behaviors. Perhaps this is because, as authors Luhtanen and Crocker (2005) state, "Low self-esteem is associated with negative emotions which may lead to behaviors that offer an escape from self awareness" (p.1). Like alcohol, drugs, and other types of addictions, smoking often offers adolescents an escape from the pressures that life inevitably brings during the difficult teenage years. Clearly, when an adolescent is dealing with issues such as self image, depression, stress, and low self worth, he or she is going to have less of a problem entertaining the idea of something that might be hazardous to their health. At this point, he or she is worried about issues that seem larger than the dangers of smoking and addiction. Specifically, if the smoking offers them some kind of solace from the world they are fighting with, of course they will be inclined to take the immediate escape. They are not thinking of long term consequences, but rather of the temporary feeling of relief that the cigarette can offer them. Of course, this type of thinking can become dangerous because there is no concern with potential dangers and/or consequences. It is simply immediate gratification that is sought. The idea is that perhaps if an adolescent was taught to value him or herself more, and led to have higher self worth, then this dangerous

Information system in business Essay Example | Topics and Well Written Essays - 2000 words

Information system in business - Essay Example This paper will also outline how this technology supports that business area and the benefits they bring both to that business area and the organization as a whole. Data can be defined as collection or gathering of unrefined facts representing events taking place in organizations or the physical environment prior to they have been structured and managed into a structure that people can identify and make use of it. In addition, data can contain text, numbers, images and videos. On the other hand, information is collection of data that have been changed into a structure that is important and functional to human beings (Shelly, Cashman, & Vermaat, 2005, p. 6; Norton, 2001, p. 4; Laudon & Laudon, 1999, p. 7). A system is a group of related elements that work together to carry out a job in order to achieve a goal. Any organization or business that makes use of information technology will have a computer-based information system encompassing software, hardware, data/information, actions, workers, and communications setups. These components work together to offer management with information for running the business (Hutchinson & Sawyer, 2000, p. 9.3). (Shelly, Cashman, & Vermaat, 2005, p. 620), explains information system as a collection of hardware, software, data, workers, and methods that work in collaboration to turn out functional and valuable information†. An information system helps out in every day, short-range, temporary, and long range activities of users. Various examples of users consist of store clerks, sales representatives, accountants, and supervisors, managers of construction projects, executives, and customers (Shelly, Cashman, & Vermaat, 2005, p. 620). According to (Turban, Leidner, McLean, & Wetherbe, 2005, p. 18), an information system collects, processes, stores, evaluates, and distributes information for a particular function. Similar to any other system, an information system consists of inputs (such as instructions and data)

Managing High Quality Healthcare Research Paper

Managing High Quality Healthcare - Research Paper Example This research paper describes the †bloodless medicine† in medical care and surgeries and states that usually a medical practitioner or healthcare facility cannot perform any medical care procedures or treatment plan that requires patient’s informed consent. It is the responsibility of the attending physician to inform the patient of the planned course of medical treatment and procedures for the patient to be guided in making a knowledge-based decision on what to accept or what to refuse. However, in medical cases where critical blood loss posed a serious threat to life, most practitioners generally recommend blood transfusion as the best medical treatment and as the only life saving measure. In times of emergencies where patient is unconscious and a life-saving decision is to be made, it is also the moral and ethical duty of the attending doctor to protect and save the life of the patient. A blood transfusion is given to the patient without consent, overriding the will or directive of the patient. Incidents like these, often led to conflicts and court cases between the patient and the clinic. The Patient’s Bill of Rights and the Code of Medical Ethics provide a framework that fosters a better understanding and friendly relationship between the patient and the doctor as well as the healthcare institution. Through the collaborative effort of the medical society and medical scientists, the dilemma of a religious group are being taken care of, giving impetus to the evolution of non-blood surgery and medical treatment.

Quantitative Analysis Essay Example | Topics and Well Written Essays - 3750 words

Quantitative Analysis - Essay Example Re designing the operations to increase capacity continuing the same number of aircraft can be considered as primary issue. This can increase efficiency and as a consequence reduces congestion in securing seats in piedmont airlines flights. 1 Re modeling and re deploying aircrafts to increase hub operations where there is demand. For example 25% of the passengers traveling in Piedmont flight from charlotte to Boston are paying for another airline to have a connecting flight. If the company is able to introduce the connecting flight it can decrease the loss of market and can save time and charges by issuing tickets from charlotte to the passenger's required destination in charlotte itself. A detailed structure and decision making process should be developed to decide the number of seats that must be allotted by offering discount and the number that can be allowed in full fare. The seats that are allowed on discount must be open to both stimulators and diverters and no diverter (the person paying full fare must not be dissatisfied due to the reason that a discount seat was allotted to a stimulator after he was rejected on the cause of non availability. By increasing the number of seats in each aircraft, that is by remodeli... The decision must be applied both aircraft interiors and mainline operations. The decisions that are to be taken can be as follows (in millions) 2005 2006 Incremental profit improvement initiatives $ 400 $800 Non Pilot pay and benefit savings $250 250 De hubbing of selected flight operations $55 $70 Continuous hub redesign $50 $150 Total non pilot operational improvements $755 $1270 The above table is adopted from following website: https://a248.e.akamai.net/7/248/19260/v1/images.delta.com/delta/pdfs/annual_reports/DeltaAR2004.pdf The firm can get benefits by converting banked flights to continuous ones. The other benefits the firm can consider were the concessions from aircraft leassors, creditors and vendors. It can be suggested to introduce more simplified fare structure all over the country and if possible for the flights operating overseas. These simplified fares must be able to meet the needs of all types of customers. They must simplify the way of doing business and must result in cost effectiveness. The implementation of fare cap also can be suggested along with the limitation in allotting the number of seats to H category (the discount category). It should be taken care that the introduction of simpli fares should not affect the revenue inputs negatively. So the implementation must in a step by step process. First the traffic must be stimulated and then the fare structure must be revised. But the both things must be planned with coordination by announcing the decision of fare simplification before the firm starts the stimulating the traffic. The announcement of the simplified fare structure must help in stimulating traffic. Analysis of Industry and company: The deregulation caused the number of

Marketing Plan of John Lewis Research Paper Example | Topics and Well Written Essays - 3500 words

Marketing Plan of John Lewis - Research Paper Example This essay describes marketing scenario as ever changing and with changes come unprecedented challenges, the retailer companies are facing several challenges and the need of the hour is to come up with new marketing plans which are capable of tackling these never seen before challenges. John Lewis is one of the biggest departmental stores in UK; it was founded by John Spedan Lewis. John Lewis had to enter into a partnership to compete against the other biggies like Tesco in the UK. â€Å"The John Lewis Partnership's 76,500 Partners own the leading UK retail businesses - John Lewis and Waitrose. Our founder's vision of a successful business powered by its people and its principles defines our unique company today. The profits and benefits created by our success are shared by all our Partners.† (John Lewis). John Lewis is one of the biggest players in the market only behind Tesco, Wal-Mart and France’s Carrefour. It is the fourth major player should its revenue be conside red, it is in the top five for sure should profitability be considered. John Lewis is a much diversified organization, it is doing quite well. The company operates in televisions, travelling, electrical so on and so forth. It is fair to say that John Lewis has been doing well into its divided segments but the need of the hour is to have a competitive marketing plan in place which would further improve the profits and compete against the likes of Tesco, Wal-Mart and France’s Carrefour.... It is the fourth major player should its revenue be considered, it is in the top five for sure should profitability be considered. John Lewis is a much diversified organization, it is doing quite well. The company operates in televisions, travelling, electrical so on and so forth. It is fair to say that John Lewis has been doing well into its divided segments but the need of the hour is to have a competitive marketing plan in place which would further improve the profits and compete against the likes of Tesco, Wal-Mart and France’s Carrefour. Marketing plan for the organization is as follows: Market Demographics One of the most crucial parts of a marketing plan is situational analysis; important factors like SWOT analysis, organizational strategies, marketing effectiveness, and customers are discussed under situational analysis. It is ideal to apply the FEPOS approach under situational analysis, FEPOS approach will shed light upon functions, environment, productivity, systems, organizations and lastly strategy will be discussed. Functions: Operating in diverse areas that are profitable for the company is very useful, for instance more and more people are opting to buy LCD and LED TVs, John Lewis sells these HD TVs in its store as well as online, this is very helpful and should be continued in the future. Electronic goods are also sold by the company which is again really good. Consumer electronics is in demand these days, the disposable income in the hands of the people has increased and as a result of which they have started buying electronic goods, this is a wonderful opportunity for John Lewis to capitalize upon. Environment: The environment is