Taxation

I went to IRB (Inland Revenue Board) or so-called in Malay, LHDN (Lembaga Hasil Dalam Negeri) this afternoon to ask for something. 

Firstly, I wanted to ask for the letter or receipt that I received this morning. It stated that I had paid RM3,000 + to someone who I didn't know via cheque. The person-in-charge at the customer service counter told me that there was mistake by indicating my name as it was the receipt of IRB for RPGT (Real Property Gains Tax), so the payer's name should be in my newly purchased house previous owner's name. 

Well, then I asked him whether I could charge the loan instalments and electricity as well as water supply as expenses in my business's income statement to reduce tax. He said I'm not allowed to do so as the premise is for my residential purpose at night. He then called his superior, who's tax agent, so-called tax expert via phone call and passed to me. The superior initially not allowed me to do so but after his discussion with his colleagues, he then said I can charge the interest portion of my loan instalments as expense, but it's just limited to 30% of it. I further need to prepare loan statement from the bank as proof. He subsequently mentioned that I can charge 30% of electricity and water supply bill as expenses too. 

Alright, I'm glad with that even though I can't charge my full loan instalment. At least, this helps to mitigate my expenses later. Let's look ahead and aim for better future.