The following changes will be effective immediately for ACCA students who registered after 1 January 2007 and who will sit the new ACCA Fundamentals level papers in December 2007.
* RAP – research and analysis project
- Project mentor is still required.
- RAP will be graded A, B or C.
- RAP word limit is increased to 6,500 words.
- Overall class of degree will be determined by the average marks of F4 – F9 module papers and the RAP grading.
- You have to submit the RAP and a Skills and Learning Statement. And you must pass both papers.
- If you failed the first submission of RAP, you can only get “C” at best, for getting a pass on resubmission.
- You are given 3 chances to secure a pass for RAP. After 3 “strikes”, you are out!
The process to be a “graduate” has become more vigorous. You need to plan your time and effort as part of your ACCA education strategy. For more information, you may click www.accaglobal.com/students/study_exams/qualifications/degree/.
….is now in sync with Singapore’s system.
Under Malaysia’s old two-tier imputation system, profits earned by companies were firstly taxed at corporate rate and subsequently tax at individual level when received as dividend distributed.
Singapore’s old two-tier imputation system while similar but slightly different from our neighbour’s ie. profits earned by companies were firstly taxed at corporate rate. The after-tax dividend received by individuals were then “re-grossed” and subject to the individual’s tax rate.
Now both Singapore and Malaysia will pay out exempt dividend ie. after corporate tax rate, to shareholders.
this is not as clear as black and light brown
Back in Apr 2007, I became aware of the ongoing ding-donging between YHS and IRAS on a “simple” definition issue that may result in YHS paying IRAS millions of dollars.
What is the ding-donging about?
In 2000, IRAS wants to treat $108.2 million of the revaluation surplus of $128.8 million as a taxable gain. The tax payable by YHS would be $23.3 million.
YHS has insisted that the $108.2 million is capital in nature and thus not taxable.
What is today’s news about?
Apparently, the statutory time limit for assessing profits on the Sterling project for YA 2001 expires at the end of this month. So IRAS has issued a “protective assessment” on the tax payable to avoid the situation of the “claim” becoming a legal-no-show (ie. YHS can no longer be legally obliged to answer/pay).
– YHS applied for a “standover without penalty” of the tax raised by the protective assessment. IRAS granted the request.
– YHS will make a tax provision of $23.3 million and consequently issued a profit warning.
For most of the taxpayers, you pay first if you wish to object to the assessment. If you don’t, you got fined. For YHS, standover without penalty was granted.
Friends, this series of “tactical” moves of creating the revaluation reserve prior to converting the land from factory use to condominium property developments, subsequently objecting to the tax assessment and dragging it over the last 6 years should be documented and reviewed in MBA/tax classes.
On Dec 15, 2007, BT reported that fair-value gain boosted Ipco International’s 6-month profit by more than 100% (ie. from $2.1mio ti $5,4mio on a revenue of $24.4mio) despite a 31.5% fall in first 6-month sales.
What is Ipco’s business?
Ipco is essentially a developer and investor in oil and gas, water and environment infrastructure projects.
ESA Electronic, its subsidiary in the semiconductor equipment distribution business, responsible for 31.5 per cent fall in group’s sales of goods to $11.9 million from $17.4 million.
This was offset by a rise in other revenue from $2.4 million to $8.2 million, which included $7.5 million in ‘fair-value gain’ on financial assets.
So without the fair-value gain, the Group’s total revenue would be $16.9mio instead of the currently reported $24.4mio (a 16% drop instead).
So while Labroy and SembMarine have been negatively affected by financial assets valuation, we have a company here that has been glossed with positivities instead.
P/S – Fair-value gain of $7.5mio is accounted as “Other revenue”. Hmmm…