TAX3704 Assignment 2 (COMPLETE ANSWERS) Semester 2 2024 - DUE 17 September 2024
TAX3704 Assignment 2 (COMPLETE ANSWERS) Semester 2 2024 - DUE 17 September 2024
TAX3704 Assignment 2 (COMPLETE ANSWERS) Semester 2 2024 - DUE 17 September 2024 ; 100% TRUSTED Complete, trusted solutions and explanations.
All for this textbook (16)
Written for
University of South Africa
Tax Administration
All documents for this subject (11)
Seller
Follow
Academy360
Reviews received
Content preview
, TAX3704 Assignment 2 (COMPLETE ANSWERS)
Semester 2 2024 - DUE 17 September 2024 ; 100%
TRUSTED Complete, trusted solutions and explanations.
Question 1: (35 marks) Background information Your best
friend Ntato Hill called you and asked for assistance regarding
an audit SARS is conducting on her husband, Jack’s business.
The following information may or may not be relevant. • Jack
Hill is 70 years old and runs a business (as sole proprietor) that
manufactures spare parts for industrial machinery. He was in a
serious motor vehicle accident in April 2022 and was discharged
from the hospital only in March 2023. After his accident, Jack’s
wife appointed an accountant to take over Jack’s financial
responsibilities and an engineer to assist in the factory. • The
newly appointed accountant prepared the financial statements
for the 2022 financial year and submitted a return on behalf of
Jack before the deadline of 21 January 2023. • The return
submitted by the accountant states that the business made a loss
of R200 000. In the past 25 years, the business always made
taxable profits. The SARS risk engine flagged Jack as a risk
case, and the audit commenced after Jack had been given the
required notice. Observation You decide to make notes relating
to the risks associated with the audit Risks There is a possibility
that the newly appointed accountant did not disclose all the
income earned by the business. SARS may issue an estimated
assessment. Jack may be unable to pay his outstanding tax debt.
REQUIRED MARKS (a) Explain to Jack what statutory powers
are granted to a senior SARS official under a request for
relevant material. Refer to applicable tax legislation. 10
The benefits of buying summaries with Stuvia:
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
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
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 Academy360. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.50. You're not tied to anything after your purchase.
