Dear Edgar,
Thanks for your kind support during last year. I feel my MBA at least 30% yours because according to my classmates accounting was the most difficult module.
Grig
25 Dec 2006
Dear Edgar,
Thanks for your kind support during last year. I feel my MBA at least 30% yours because according to my classmates accounting was the most difficult module.
Grig
25 Dec 2006
“Minority investors want Isetan to pay out tax credits” as per today’s ST on page 29.
With $61mio tax credits, the investors are asking for only $2 dividend from a maximum $7.50 for a full advantage on the credits.
Does Isetan has the monies?
As per Jun 2006 accounts, it is reported that it has a $100mio cash in its balance sheet. Then why not pay since cashflow is not an issue?
Has the cash been earmarked for investment?
No such info presented. It is reported that the answer lies with the higher tax rate on income received in Japan as compared to Singapore.
Isetan Tokyo, which owns 61% of Isetan Singapore, would have to pay a higher tax in Japan on dividends received from Singapore.
Moral of the story
Hi Edgar,
I was your student in your main & revision classes this year (ie. 2006) from Jan to May, I took my CBE exam for paper 1.1 last week and am pleased to tell you I’ve passed!!!
To me, this exam was a difficult one, though I only managed to score 76 marks but I believe I had done my best and am glad I’ve cleared the paper!
I would like to take this opportunity to thank you for being an inspiring lecturer, though I was confused sometimes but over all I thoroughly enjoyed and am enriched from your lectures. Keep up the good work and may you enjoy more success in the coming Jul term!
Best wishes and God Bless You!!
Regards,
Serene
28 June 2006
Under the “old two-tier” system, individual shareholders receiving section 44 dividends can claim a refund in part or all of the corporate tax paid.
Example
Under the “old” system, company pays $80 dividend nett of corporate tax rate of 20%. The gross dividend would be $100. $20 has been paid by the company to IRAS. The $20 is placed in the Section 44 account.
Let us assume the individual shareholder’s personal income tax rate is 10%. $10 (ie. $100 x 10%) would be taken out of IRAS’s Section 44 account as credit against the tax payable by that individual.
What is the difference?
Under the one-tier system, the $80 received by the individual would be treated as exempt income. No adjustment of $10 would be given. Effectively, the individual pays a tax rate of 20% for that income.
What to do?
Companies, with accumulated profits which qualify for Section 44 credits and have the liquidity to pay dividends, may consider paying dividends before end of 2007.
So think about it.
Mr Kang Choon Pin and Mr Russel Aubrey of Ernst & Young presented the following list of helpful tips to achieve some tax savings as 2006 draws to an end.
Reference – Ernst & Young, You and the Taxman, Sep/Oct 2006.
Dear friends,
When you makan at a restaurant, the restaurant will almost definitely hit you with a 10% service charge on actual F&B that you consumed.
Let us take a simple example.
2 steaks @$25 $50.00
A bottle of Cardonnay $40.00
subtotal (1) $90.00
10% service charge $9.00
subtotal (2) $99.00
How much is the GST payable?
Answer – 5% of ($90.00 + $9.00) = $4.95
Mrs Lee, Director of Corporate Communications, IRAS said GST is applied on the final value of goods or services (including any indirect taxes/duties) consumed in Singapore.
P/S – For those who have gone to a movie recently – can share how they calculate GST for your movie ticket?
Reference – Straits Times – Inbox – page 45, Nov 19, 2006.
Dear students, past and present,
Need your help to contribute some advice to the new students coming in in next academic term.
Advice on the following:-
How to manage time between work, studies, family and bfs/gfs?
How many subjects should I take?
How should I study? Read textbook or not?
How to deal with lecturers to get them to help?
Given that you guys and gals have now got the experience of going through at least one exam, let me have your views.
No right or wrong view. It is your view. – So just type 🙂