isa is a 30 years old woman that lives in Kuala Lumpur. She formed a cosmetic company called Lisa Letop Sdn. Bhd and the sole director of the company. One year later, she intends to appoint her sister, Linda, since Linda has interest and knowledge about cosmetics. Linda is 17 years old and just finished her SPM. Based on the above situation, advise Lisa whether she can appoint Linda to be a director according to Companies Act 2016 issue: Law: Application: conclusion Please do fast ... ASAP ...fast
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- Jack, a geologist, had been debating for years whether or not to venture out on his own and operate his own business. He had developed a lot of solid relationships with clients, and he believed that many of them would follow him if he were to leave his current employer. As part of a New Year’s resolution, Jack decided he would finally do it. Jack put his business plan together, and, on January 1 of this year, Jack opened his doors for business as a C corporation called Geo-Jack (GJ). Jack is the sole shareholder. Jack reported the following financial information for the year (assume GJ reports on a calendar year, uses the accrual method of accounting, and elects to account for inventory). In January, GJ rented a small business office about 12 miles from Jack’s home. GJ paid $10,000, which represented a damage deposit of $4,000 and rent for two years ($3,000 annually). GJ earned and collected $290,000 performing geological-related services and selling its specialized digging tool. GJ…Henrietta, the owner of a very successful hotel chain in the Southeast, is exploring the possibility of expanding the chain into a city in the Northeast. She incurs $60,000 of expenses associated with this investigation. Based on the regulatory environment for hotels in the city, she decides not to expand. During the year, she also investigates opening a restaurant that will be part of a national restaurant chain. Her expenses for this are $54,400. She proceeds with opening the restaurant, and it begins operations on May 1. Determine the amount that Henrietta can deduct in the current year for investigating these two businesses. In your computations, round the per-month amount to the nearest dollar and use rounded amount in subsequent computations. a. The deductible amount of investigation expenses related to expansion of her hotel chain into another city? b. The deductible amount of investigation expenses related to opening a restaurant?Rose, Jean and Dorothy have been trading as a partnership for the last three years. However, their accountant advised them to convert to a limited company in order to reduce their tax liability. Following this advice they incorporated a company, Davies Fashions Ltd, with Rose, Jean and Dorothy as the sole directors and shareholders. They commenced trading as the new company some thirteen months ago. The company manufactures high quality fashion goods for the more mature end of the female market and deliberately targets customers who used to shop at major high street retailers but no longer do so. They pride themselves on the fact that all their products are hand-finished, using local staff, a large proportion of which are family and friends of the directors. The company secretary is Edward, who has responsibility for all compliance issues. He drew up the Memorandum and Articles of Association and registered the company at Companies House, in accordance with all statutory procedures.…
- Mr Smart is works as a manager of an international company in Kajang, Selangor. Upon attaining the age of 55 years, Mr Smart retired on 30 September 2020, after having worked for 32 years with his one and only employer. During the year 2020, his income and benefits from this employment were:( as attached in the picture ) In January 2020, his son was warded in a private hospital for serious illness while vacationing in Tokyo. His son medical expense amounting to RM4,100 is paid by Mr. Smart company. During the nine months prior to his retirement, Mr Smart was provided with a company car which his employer had acquired as a new car two years earlier at a price of RM85,000. Free fuel was provided to him by his employer. Required: Compute statutory income of Mr. Smart for the YA 2020.Kwame Lee has been made redundant from a managerial position in an oil company in Trinidad where he had worked for the past fifteen years. His plan is to go into private practice as an environmental engineer consultant working in Trinidad and the Eastern Caribbean countries. Initially he was unsure whether he should operate as a sole proprietor, incorporate a company in which he will be the sole director; or operate in partnership with a former school friend. However, he was advised that a partnership would be the best structure. Kwame intends to employ staff and invest excess cash from the business in purchasing stocks/shares. The stocks/shares will be purchased by the partnership but will be held in trust for Kwame and his children. Required: Advise Kwame of the following: 1) The direct taxes and indirect taxes that he will need to consider, the tax filing obligations which he is required to fulfil for compliance, the powers of the Revenue Authority and his responsibility as a…Allison and Paul are married and have no children. Paul is a lawyer who earns a salary of 80,000. In November 2018, Allison quit her job as a copy editor and began exploring the possibility of breeding and showing horses. She would run the business on their property. Allison expects to travel to nine or ten horse shows during the year. While researching the activity, she came across an article entitled: IRS Cracking Down on Horse BreedingIs It Really a Business or Is It a Hobby? She is unsure of the tax ramifications discussed in the article and has come to you for advice on whether her activity will be considered a business or a hobby. Allison provides you with the following projections of the 2019 income and expense items for the horse breeding and showing activity: Revenue: Expenses: Paul and Allison expect to receive 6,000 in interest and dividend income, they will have an 8,000 net long-term capital gain, and their other itemized deductions will total 16,300 in 2019. Write a letter to Allison explaining the factors the IRS will use to determine whether she is engaged in a trade or business or a hobby. You should also provide her with a calculation of their taxable income and tax liability and explain the difference(s) caused by the classification of the horse breeding and showing activity as a business or as a hobby.
- Heather and Dan Holt met while both were employed in the interior trim and upholstery department of an auto manufacturer. After their marriage, they decided to earnsomeextra income by doing small jobs involving canvas, vinyl, and upholstered products. Their work was considered excellent, and at the urging of their customers, they decided to go into business for themselves, operating out of the basement of the house they owned. To do this, they invested $120,000 cash in their business. They spent $10,500 for a sewing machine (expected life 10 years) and $12,000 for other miscelianeous tools and equipment (expected life 5 years). They undertook only custom work, with the customers purchasing the required materials, to avoid stocking any inventory other than supplies. Generally, they required an advance deposit on all jobs. The business seemed successful from the start, as the Holts received orders from many customers. But they felt something was wrong. They worked hard and charged…Kwame Lee has been made redundant from a managerial position in an oil company inTrinidad where he had worked for the past fifteen years. His plan is to go into privatepractice as an environmental engineer consultant working in Trinidad and the EasternCaribbean countries.Initially he was unsure whether he should operate as a sole proprietor, incorporate acompany in which he will be the sole director; or operate in partnership with a formerschool friend. However, he was advised that a partnership would be the best structure.Kwame intends to employ staff and invest excess cash from the business in purchasingstocks/shares. The stocks/shares will be purchased by the partnership but will be held intrust for Kwame and his children. Required Kwame Lee has heard the term ‘Appropriation Account’, but he does not understand what itmeans. He asks that you explain the need for an appropriation account and what is includedin this account. He would like you to give practical examples.Davies FashionsRose, Jean and Dorothy have been trading as a partnership for the last three years. However, their accountant advised them to convert to a limited company in order to reduce their tax liability.Following this advice they incorporated a company, Davies Fashions Ltd, with Rose, Jean and Dorothy as the sole directors and shareholders. They commenced trading as the new company some thirteen months ago. The company manufactures high quality fashiongoods for the more mature end of the female market and deliberately targets customers who used to shop at major high street retailers but no longer do so.They pride themselves on the fact that all their products are hand-finished, using local staff, a large proportion of which are family and friends of the directors. The company secretary is Edward, who has responsibility for all compliance issues. He drew up the Memorandum and Articles of Association and registered the company at Companies House, in accordance with all statutory…