Well-structured CAS3701 Assignment 11 (ANSWERS) 2024 - DISTINCTION GUARANTEED. (DETAILED ANSWERS - DISTINCTION GUARANTEED!)..QUESTION 1
1. BACKGROUND
LearnCo. Limited (LearnCo.) is a top training provider that offers skills development training solutions to businesses and government institutions ...
SOLUTIONS MANUAL for Financial Accounting Theory and Analysis: Text and Cases, 13th Edition by Richard Schroeder, Myrtle Clark and Jack Cathey. ISBN A+
SOLUTIONS MANUAL for Financial Accounting Theory and Analysis: Text and Cases, 12th Edition by Richard Schroeder, Myrtle Clark and Jack Cathey. ISBN 9781119636731. (Complete 17 Chapters)
TEST BANK for Financial Accounting Theory and Analysis: Text and Cases, 12th Edition by Richard Schroeder, Myrtle Clark and Jack Cathey. ISBN 9781119636731. (Complete 17 Chapters)
Tout pour ce livre (4)
École, étude et sujet
University of South Africa (Unisa)
Capstone in Accounting Sciences (CAS3701)
Tous les documents sur ce sujet (97)
Vendeur
S'abonner
dochub
Avis reçus
Aperçu du contenu
CAS3701
Assignment 11 2024
Unique Number:
Due Date: 13 September 2024
QUESTION 1
TASK 1
a.
In accordance with the provisions of the Income Tax Act, 58 of 1962 and the Tax
Administration Act, 28 of 2011, all employees earning taxable income in South Africa must be
registered for tax purposes. The Income Tax Act defines a taxpayer as any individual who
derives income that falls within the scope of taxable income, including salaries or wages.
DISCLAIMER & TERMS OF USE
1. Educational Aid: These study notes are designed to serve as educational aids and should not be considered as a
substitute for individual research, critical thinking, or professional guidance. Students are encouraged to
conduct their own extensive research and consult with their instructors or academic advisors for specific
assignment requirements.
2. Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the
information provided in these study notes, the seller cannot guarantee the completeness or correctness of all
the content. It is the responsibility of the buyer to verify the accuracy of the information and use their own
judgment when applying it to their assignments.
3. Academic Integrity: It is crucial for students to uphold academic integrity and adhere to their institution's
policies and guidelines regarding plagiarism, citation, and referencing. These study notes should be used as a
tool for learning and inspiration, but any direct reproduction of the content without proper acknowledgment and
citation may constitute academic misconduct.
4. Limited Liability: The seller of these study notes shall not be held liable for any direct or indirect damages,
losses, or consequences arising from the use of the notes. This includes, but is not limited to, poor grades,
academic penalties, or any other negative outcomes resulting from the application or misuse of the information
prov
]
, For additional support +27 81 278 3372
QUESTION 1
TASK 1
a.
In accordance with the provisions of the Income Tax Act, 58 of 1962 and the Tax
Administration Act, 28 of 2011, all employees earning taxable income in South Africa must
be registered for tax purposes. The Income Tax Act defines a taxpayer as any individual
who derives income that falls within the scope of taxable income, including salaries or
wages. Specifically, Section 10 of the Income Tax Act provides for tax exemptions, but
salaries above certain thresholds are subject to tax. The five non-facilitator employees of
LearnCo., earning R15,000 per month, equate to an annual gross income of R180,000,
which exceeds the tax threshold for individuals under the age of 65, set at R95,750 for the
2024 tax year. Therefore, they are liable for taxation on this income.
The Tax Administration Act, through Section 67 of the Act, mandates that all individuals
earning taxable income must be registered as taxpayers. Additionally, Section 69 of the Tax
Administration Act requires employers to submit accurate payroll data to the South African
Revenue Service (SARS), ensuring that all employees’ tax obligations are met. This means
LearnCo. is legally obligated to register these employees with SARS and deduct Pay-As-
You-Earn (PAYE) tax from their salaries.
Furthermore, LearnCo.’s current practice of accounting for these payments as general
expenses, rather than as employee salaries, breaches the requirements of the Income Tax
Act and could lead to penalties and interest under the Tax Administration Act. The CFO’s
justification that withholding tax obligations would relieve these employees of a financial
burden is irrelevant in light of the employer’s legal duty to deduct PAYE. Not registering
these employees as official staff and failing to deduct the applicable tax is a violation of tax
laws and exposes LearnCo. to potential compliance risks. Therefore, these non-facilitator
employees must be formally registered as taxpayers.
b.
The current treatment of non-facilitator payroll expenses by LearnCo is incorrect and
inconsistent with the requirements of South African tax legislation, specifically the Income
Tax Act No. 58 of 1962 and the Tax Administration Act No. 28 of 2011.
Les avantages d'acheter des résumés chez Stuvia:
Qualité garantie par les avis des clients
Les clients de Stuvia ont évalués plus de 700 000 résumés. C'est comme ça que vous savez que vous achetez les meilleurs documents.
L’achat facile et rapide
Vous pouvez payer rapidement avec iDeal, carte de crédit ou Stuvia-crédit pour les résumés. Il n'y a pas d'adhésion nécessaire.
Focus sur l’essentiel
Vos camarades écrivent eux-mêmes les notes d’étude, c’est pourquoi les documents sont toujours fiables et à jour. Cela garantit que vous arrivez rapidement au coeur du matériel.
Foire aux questions
Qu'est-ce que j'obtiens en achetant ce document ?
Vous obtenez un PDF, disponible immédiatement après votre achat. Le document acheté est accessible à tout moment, n'importe où et indéfiniment via votre profil.
Garantie de remboursement : comment ça marche ?
Notre garantie de satisfaction garantit que vous trouverez toujours un document d'étude qui vous convient. Vous remplissez un formulaire et notre équipe du service client s'occupe du reste.
Auprès de qui est-ce que j'achète ce résumé ?
Stuvia est une place de marché. Alors, vous n'achetez donc pas ce document chez nous, mais auprès du vendeur dochub. Stuvia facilite les paiements au vendeur.
Est-ce que j'aurai un abonnement?
Non, vous n'achetez ce résumé que pour €2,65. Vous n'êtes lié à rien après votre achat.
