Started on Tuesday, 29 October 2024, 4:47 PM
State Finished
Completed on Tuesday, 29 October 2024, 5:43 PM
Time taken
out of 100.00
Question 1
Complete
Mark 3.00 out of 3.00
Assume the following taxpayer information: The taxpayer is a South African
manufacturing company (not a small business corporation as de ned) with a
31 March 2024 year of assessment.
Calculate the proceeds (for CGT) for the disposal of the machine BELOW.
a. R605 000
b. R94 000
c. R135 000
d. R229 000
Question 2
Complete
Mark 0.00 out of 1.00
A company quali es as a small business corporation. For the year of
assessment ending 31 December 2023, it has receipts of R1.3 million and
taxable income of R543 000. What is the tax liability of the company for the year
of assessment ending 31 December 2023?
Ngwenya (Pty) Ltd imports trading stock from Brazil. The cost of the trading
stock is the equivalent of R4 000 000, shipping costs are R80 000, insurance
costs are R40 000 and customs and excise duties are R400 000. The trading
stock was received at the warehouse by the end of its 2024 year of
assessment. Calculate the value of trading stock for the year of assessment
ended 29 February 2024.
a. R4 080 000
b. R4 000 000
c. R4 120 000
d. R4 520 000
Question 4
Complete
Mark 2.00 out of 2.00
Ngwenya (Pty) Ltd made the following donations during the 2024 year of
assessment ending 29 February:
Paint supplies valued at R98 000 were donated to a childrens orphanage (a
registered public bene t organisation). At year-end Ngwenya (Pty) Ltd is in
possession of a section 18A receipt for this donation and the orphanage had
painted their premises with the donated paint. R25 000 cash to a local home
shelter. At the time the donation was made, the home shelter was waiting to be
registered as a public bene t organisation. At year-end Ngwenya (Pty) Ltd was
not in possession of a section 18A receipt for this donation. What will the
donations deduction be for Ngwenya (Pty) Ltd assuming they had a taxable
income of R890 000 before taking the above into account?
a. R98 000
b. R nil
c. R89 000
d. R123 000
Question 5
Complete
Mark 0.00 out of 1.00
A Close Corporation (not a small business corporation as de ned) needs to
make its second provisional tax payment for the 2024 year of assessment
(ending 31 March). It has estimated that its taxable income for the 2024 year
will be R770 000 and its basic amount from the last assessment received from
SARS for the 2022 year of assessment is R560 000.
What amount should the CC use to calculate its second provisional tax
payment?
Assume the following taxpayer information: The taxpayer is a South African
manufacturing company (not a small business corporation as de ned) with a
31 March 2024 year of assessment.
Calculate the base cost for purposes of capital gains tax for the machine
BELOW:
a. R120 000
b. R56 000
c. R98 000
d. R76 000
Question 7
Complete
Mark 1.00 out of 1.00
Which of the following is true with regards to Sole Traders?
a. A sole trader is a separate legal entity similar to other businesses
b. A sole trader must add pro ts from the business to the taxpayer's
(natural person's) income from other sources.
c. Sole traders are not entitled to trading deductions and capital
allowances as they are not businesses
d. Sole traders are not allowed to have multiple businesses, they can only
have one type of business
Mrs Bhekisizwe has recently started a small business that sells designer
clothing. She received only cash amounts of R632 000 for the period 1
September 2023 to 29 February 2024. This is the rst year of trade. Mrs
Bhekisizwe would like to know if she would qualify as a micro business.
Which one of the following statements is correct regarding Mrs Bhekisizwe’s
status with regards to qualifying as a micro business?
a. She quali es as a micro business as the receipts of R632 000 are more
than the R500 000 proportional turnover limit.
b. She quali es as a micro business as the receipts of R632 000 are less
than the R1 million turnover limit.
c. She does not qualify as a micro business, as the receipts of R632 000
are not more than the R1 million turnover limit.
d. She does not qualify as a micro business as the receipts of R632 000
are more than the R500 000 proportional turnover limit.
Question 9
Complete
Mark 1.00 out of 1.00
The taxable income for the 2024 year of assessment of a close corporation is
R100 000. What is the tax liability of the close corporation for the year of
assessment ended 31 March 2024, assuming it is not a micro business or a
small business corporation as de ned?
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