Omar operates mini market business

Assignment Help Business Management

Reference no: EM133615529

Omar operates a mini market business in the name of Omara Enterprise. It was registered as a sole proprietorship even though he had actually admitted his son, Rahmad as a partner of the business and agreed to incorporate any rights, power, assets or expertise to carry on the business and sharing of profits. Upon audit, it was found that Omar had under-declared sales and profit and claimed deductions for some expenses which were not allowable. For year of assessments 2016, 2017, 2018 and 2019, Omar claimed that he had made a distribution of income from partnership to Rahmad. The Inland Revenue Board Malaysia (IRBM) however disallowed the said distribution. Omar was not satisfied and he contended that although registration of partnership is required under the Companies Commission of Malaysia (CCM) for the purpose of licensing, the existence of a partnership and its legality are subjected to the Partnership Act 1961. Furthermore, he argued that he and his son had complied with sections 2 and 55 of the ITA 1967 wherein the parties had agreed to incorporate any rights, power, assets or expertise to carry on the business and sharing of profits. Thus, according to him the partnership did exist.

Reference no: EM133615529

Questions Cloud

Absence of employee retirement plan : How does the presence or absence of an employee retirement plan at a bank significantly influence an employee's decision-making process

Purchase and sale of goods : Purchase and Sale of Goods The purpose of this Agreement is to set forth the terms and conditions under which Company shall have the right to purchase

Appropriation conditions of the innovation process : One important purpose of this case is to illustrate the basic difference between the strong and weak appropriation conditions of the innovation process

Field of emergency management : Specific topics or issues of particular interest to you such as the use of social media in the field of emergency management and / or crisis communications.

Omar operates mini market business : Omar operates a mini market business in the name of Omara Enterprise. It was registered as a sole proprietorship even though he had actually admitted his son,

Identify risk management techniques for each risk for newly : Identify risk management techniques for each risk for a newly open restaurant in paragraph format for the risks.

New demand-driven co-creation model : The aim of this assessment is to examine the capacity of students to critically review the "In Demand, a new demand-driven co-creation model

Describe a ready-made platform : Identify and describe a ready-made platform, like Squarespace or Shopify that is not a direct competitor of either one of these platforms

Manitou springs have hills of varying degrees of slope : Some sections of the city of Manitou Springs have hills of varying degrees of slope. To protect against water drainage and erosion,

User Account

All Pages