This morning, I decided to throw a little challenge at our juniors and interns with the “Quiz of the Day.”

It’s a tradition at KTP where either a partner or a manager dishes out a work-related question to newcomers.

They get 30 minutes to research, write, and submit their answers. It’s all part of sharpening their research skills and helping them get a good grasp of tax laws.

Today’s quiz was a bit tricky—”Can businesses claim tax deductions on praying expenses during the Hungry Ghost Festival?”

The answers I received were pretty standard, a lot of textbook responses, and a few that looked suspiciously familiar.

So, I gathered everyone and asked, “Who Googled and used ChatGPT for this?”

A few smiles and raised hands told me what I needed to know. I then shared a bit of wisdom with them …

Yes, businesses can claim tax deductions under Section 33(1) of the Income Tax Act 1967 for expenses related to Hungry Ghost Month prayers.

The expenses, like food and drinks provided during the event, can be classified as staff refreshments or welfare.

Now, here’s the interesting part—though the food is first offered to the ghosts, it’s later enjoyed by the staff.

I joked with them, “What about ceremonial items like incense papers and joss sticks? Could these expenses be categorized as security charges, similar to employing Nepalese guards or using guard dogs?

The moral of the story? Don’t rely 100% on Google or ChatGPT.

While these tools are incredibly useful, they can’t replace a deep understanding of tax laws and the nuances that come with experience.

In the world of tax, it’s the details that matter, and sometimes, those details aren’t found on the first page of search results.

So, next time you face a quiz, dig a little deeper—your future self will thank you!