Business Zakat Accounting and Taxation in Malaysia
This paper aims to examine the relationship between business zakat accounting and taxation
in Malaysia according to the Income Tax Act 1967. In Malaysia, there are two types of
business zakat accounting methods which are commonly practiced, namely, the adjusted
working capital method and the adjusted growth capital method. It is argued that those
methods demonstrate none relationship between business zakat accounting method and tax
on business income due to the different sources of information usage. Whilst both methods
of business zakat accounting use data from the balance sheet, business taxation gains
information from the income statement. The arising question is, if the assessment of
businesszakat depends on those methods, do entrepreneurs get benefits from the income
tax imposed to them? If not, in what way they can uti.lise it? The findings show that
entrepreneurs are allowed to use any methods that fit in with their types of businesses. They
are also able to use business zakat accounting method which based on income in the process
of assessing the business zakat respectively.
SILA KLIK DI SINI UNTUK BACAAN LANJUT.