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Investment Holding Company Definition of Investment Holding Company - Main activities - Holding of investment (eg. Dividend, interest and rental - non business sources) - Not less than 80% of gross income (Holding of investment) Tax treatment under 60F(1) ITA Formula: ~ A x B/4C A - Total permitted expenses B - Gross income consisting of dividend, interest and rent chargeable to tax  C - Aggregate gross income Permitted expenses:- - Directors' fees - wages, salaries and allowances - management fee - secretarial, audit and accounting fees, telephone charges, printing and stationary costs and postage; and - rent and other expenses incidental to the maintenance of an office, Definition of "business" holding of investment - Letting of real property and provides maintenance services or support services. *The real of property - owned/rented *Maintenance services or support services - comprehensively and actively provided *Detail can refer to PR No. 4/2011 - Income from lettin...

Entertainment Expenses Definition of Entertainment under Section 18 "Entertainment" includes:- (a) the provision of food, drink, recreation or hospitality of any kind; or (b) the provision of accommodation or travel in connection with or for the purpose of facilitating entertainment of the kind mentioned in paragraph (a) above, by a person or an employee of his, with or without consideration paid whether in cash or in kind, in promoting or in connection with a trade or business carried on by that person. Section 33(1) of Income Tax Act 1967 ("ITA") Section 33(1) provides that for the purposes of determining tax, a person’s (or business’) gross income shall be adjusted by deducting from that source, all outgoings and expenses wholly and exclusively incurred in the production of gross income [1]. In short, when you spend money to earn money, you’re allowed to deduct that cost from the income. Deduction for Entertainment Expense Entertainment expense (section 18) un...