Summary
Summary TAX MAY SOLUTION
- Institution
- University Of South Africa (Unisa)
UNISA TAX3702 QUESTION AND ANSWERS BASED ON THE 2020 SARS TAX CHANGES. UNDERSTAND, PASS, EXCEL WITH THESE PRACTICE QUESTIONS AND ANSWERS.
[Show more]
Content preview
(a) SOLUTION TO QUESTION 1 PART ACASSIM
NET NORMAL TAX FOR THE 2014 YEAR OF ASSESSMENT
Salary (R ) 620 000
Purchased annuity
Annuity 30 000
Less capital portion (250000/2500x12x29,54)x30000 (8 463)
21 537 21 537
Bursary (R )
Exempt - Taxpayer will refund employer if studies not complete -
Travel allowance (R )
Allowance 7 500 x 10 75 000
Less reduction 111 665
Limited to zero (36 665) -
Reduction is greater of:
Actual 85 644
Deemed 111 665
Total kms 17 500
Private kms 6 100
Business kms 11 400
Deemed cost/km
Determined value (cost plus VAT) 520 000
Fixed cost 153 850
Total km/s 17 500
Total days 304
Fixed cost/km(153 850/17 500)x304/365 7.322
Fuel cost/km 1.584
Maintenance cost/km 0.889
Total cost/km 9.795
Total deemed travel cost (Bus kms x rate) 111 665
Actual cost/km
Wear and tear (520000/7)x304/365 61 871
Finance charges 56 800
Running costs 12 800
Total cost 131 471
Total cost/km (131471/17500) 7.513
Total actual cost (Bus kms x rate) 85 644
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 EFT, 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 this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller LILSAINT. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R80,00. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
73091 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy summaries for 14 years now