100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
TAX2601 EXAM PACK $5.30   Add to cart

Exam (elaborations)

TAX2601 EXAM PACK

 6 views  0 purchase
  • Course
  • Institution

This exam pack contains • Exam question papers • Memorandums • Summary of the course material • This Exam Pack contains • Exam question papers • Memorandums • Summary of the course material • Additional notes. TAX2601 EXAM PACK 2024

Preview 3 out of 27  pages

  • January 20, 2024
  • 27
  • 2023/2024
  • Exam (elaborations)
  • Questions & answers
avatar-seller
,October –November 2014
Question 1
calculation of income taxiliability

Taxable income 5 989 747

Water tank;

-Repairs [20 0000]

-Allowance [s11e][36000/6 ] [6 000]

-New machine AA;

Allowance [s12c]-cost [600 000x40%] [240 000]

-moving cost [15 000x6/48] [2 500]

NB [Moving cost in equal installments each year

Hence apportion]

Machine BB

-Allowance [s12c][250 000x20%] [50 000]

-Recoupment 30 000

=selling price[Limited to cost ]less tax value

=180 000[Limited to 250 000]-150 000

=30 0000

Cost 250 000

Allowances-2013 [50 000]

-2014 [50 000]

TAX VALUE 150 000

-Manufacturing building cc

-Allowance [s13][2 500 000x5%] [125 000]

-building DD [s13 quat ]

, -allowance[5 000 000x55%x8%] [ 220 000 ]

Building EE [S13quin]

-allowance[1 700 000x55%x5%] [46 750]

-Building LL [S13 September]

-Allowance [130 000-10 000]x10% [12000]

-recoupment[10 000limited to 12 000] 10 000

-buildingxx[s13]

-allowance[30 000x1/5x3/12] [1500]

-office furniture

-Allowance[66 000x1/6x2/12] [1833]

-scrap allowance [9167]

Selling price[limited to cost]-tax value

=0[Limited to 66 000]-9167

Tax value beginning year 11 000

Allowance during year [1 833]

Tax value 9167

-heavy duty truck

Allowance[22 500x1/3] [75 000]

-Toolbox

-allowance-small asset in full [2 000]

-rental –photo copy machine [42 000]

Taxable income 4’615’997

Tax liability=4’615’997x28%=
1’292’479’16

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller answers. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $5.30. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

80189 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$5.30
  • (0)
  Add to cart