Islamic Economic &
Role of Government in the Economy
Compare the various role of government in economy.
Identify the role of government in Islamic economy.
Describe the role of government as a policy
Wage Withholding Tax
Speaker : Mr Ihsan Shamran
Dir. of Corporations Dept.
All income taxes (personal and corporate)
were suspended from January 1st of year
2003 to April 30th of year 2004.
(Reference : Policy Orders issued by t
BAAB2323 Taxation Framework
a) Two examples of taxable income are salary, bonus, wages, directors fees, and
compensation for loss of employment.
b) Two main objectives of taxation are to reduce the gap between different classes of
BAB2323 Taxation Framework (Malaysia Taxation) 
Q1 - Objectives of Taxation
1. To finance government expenditure.
2. To equitably distribute the wealth of the nation.
3. To pick new industries by providing tax exemption.
4. To protect