Amount Due From Directors - Pay Income Tax - LinkedIn

In layman's terms, if your Company has "Amount Due From Directors", you have to calculate an interest income for the Company based on the ... AmountDueFromDirectors-PayIncomeTax Inlayman'sterms,ifyourCompanyhas"AmountDueFromDirectors",youhavetocalculateaninterestincomefortheCompanybasedontheoutstandingamountandAverageLendingRate(ALR)byBankNegaraMalaysia(BNM)anddiscloseitinyourAuditedFinancialStatementsasInterestIncomeandpayincometaxforit. Theapplicablesectionis;Section140BofIncomeTaxAct,1967. Effectivefrom:FortheYearofAssessment2014onwardsandfortheBasisYearstartingfrom1stJanuary2014. ApplicableforallCompaniesthatgivesloanoradvancestodirectorswithoutinterestorinterestfreeorwithinterestbutbelowarm'slength. Arm'slengthmeansmarketrate. Thecalculationofinterestissimple;i'llpublishinmynextwriting. TheinterestwillbetaxableunderSection4(c)oftheIncomeTaxAct. Section4isaboutclassesofincomeonwhichtaxischargeable. TheaboveisonlyapplicableforloansandadvancesgiventodirectorsoftheCompanybyusingtheinternalfundsoftheCompany. 6 Like Comment Share Tovieworaddacomment,signin Tovieworaddacomment,signin IncomeTaxMatters-Changesinsubmissionsandduedates Feb2,2019 CHANGEINPERSONALTAXRATES&RELIEFS-FORTHEYEAROFASSESSMENT2016 Jan2,2017 RPGTinMalaysia-AQuickLook Dec14,2016