Dr Azman has worked as a Cardiology specialist with Pantai Medical Hospital, Ampang for seven years. In year 2014 he decided to transfer to Penang Gleanegles Hospital. As a result Dr Azman disposed off his double-storey house at Taman Melawati, Kuala Lumpur. The house was purchased on 10 June 2010 at a cost of RM282,000. Legal fees of RM1,200 and stamp duty of RM550 were incurred in connection with the purchase. In June 2011, Dr Azman did some extension to the house which cost him RM50,750. He also spent RM12,700 for repairs and maintenance of the house. On 5 May 2012, an amount of RM14,100 was received from a potential buyer, however this amount was forfeited. The house was sold to En Mawi for RM550,000 as per Sales and Purchase Agreement dated 1 March 2014. He incurred advertisement cost of RM600 to find a buyer. Required: Determine the RPGT payable (if any) by Dr Azman in respect of the above sale of property for the year of assessment 2014. i. ii. What are the conditions to be fulfilled in order for Dr. Azman to qualify for an exemption for private residence under Schedule 3 of RPGT Act 19762

Dr Azman has worked as a Cardiology specialist with Pantai Medical Hospital, Ampang for seven years. In year 2014 he decided to transfer to Penang Gleanegles Hospital. As a result Dr Azman disposed off his double-storey house at Taman Melawati, Kuala Lumpur. The house was purchased on 10 June 2010 at a cost of RM282,000. Legal fees of RM1,200 and stamp duty of RM550 were incurred in connection with the purchase. In June 2011, Dr Azman did some extension to the house which cost him RM50,750. He also spent RM12,700 for repairs and maintenance of the house. On 5 May 2012, an amount of RM14,100 was received from a potential buyer, however this amount was forfeited. The house was sold to En Mawi for RM550,000 as per Sales and Purchase Agreement dated 1 March 2014. He incurred advertisement cost of RM600 to find a buyer. Required: Determine the RPGT payable (if any) by Dr Azman in respect of the above sale of property for the year of assessment 2014. i. ii. What are the conditions to be fulfilled in order for Dr. Azman to qualify for an exemption for private residence under Schedule 3 of RPGT Act 19762

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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