Introduction

The objective of this assignment is to learn and to understand the concept of

self assessment system and Good and Service Tax (GST) implementation in Malaysia
and the reason of the implementation of the system.
The Self Assessment System is a system introduced by the Inland Revenue
Board (IRB) of Malaysia. It requires the taxpayers to resolve and pay their own
income tax. The taxpayers are given the responsibility to figure out their own tax
liability.
Good and Service Tax, also known as either GST or VAT (Value Added Tax),
is a broad-based consumption tax which affects all parties involved in a multi-stage
taxation system across the value chain from manufacturing to sales. GST was initially
introduced by the federal government of Malaysia in 2011 to supplant the Sales and
Service Taxes, but was met with much resistance from the public at large, partially
due to the involvement of a price raise in particular goods and services, and also
partially due to the lack of certainty around the current consumption tax systems in
Malaysia.
In this assignment, we had also learned about separate assessment and joint
assessment. Under separate assessment, a married couple with employment income
will be taxable as separate individuals. Each of the husband and wife should disclose
the income and claim the expenses and deduction in the tax returns. On the other
hand, joint assessment can be beneficial for a married couple if the assessable income
of one is less than his or her tax allowance. Under joint assessment, the incomes of the
couples will be accumulated and the married persons allowance or other allowances
that the couple is qualified for will be written off from the couples joint total income.
Lastly, we are using Taxcom Office Solution Software to compute the income
tax return. We are using this software because it simplified the ability to organize
business processes and data, and enable us to work out effectively and efficiently.

Conclusion
As a conclusion, throughout the assignment, we have learned a lot and had
understood the fundamental concept regarding the Self-Assessment System and Good
and Service Tax System. We had briefly explained and defined the meaning of both
systems and the reason of implementations by the Malaysia Government. Besides
that, we had explained the responsibility of taxpayer and the penalty if taxpayer fails
to comply under the Self Assessment System. Furthermore, we had explained that
who need to register under GST and the scope and charges of GST.
Throughout the assignment, we had also learned about separate and joint
assessment. In the case of this assignment, we had advised that Joyce not elect to have
joint assessment with her husband as the joint assessment will be tax higher if
compared to the separate assessment between James and Joyce.
Lastly, we had learned to use Taxcom Office Solution software to compute the
Income Tax Return for James for the year of assessment 2014.