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tax computation

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › tax computation

  • This topic has 1 reply, 2 voices, and was last updated 9 years ago by Tax Tutor.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • July 3, 2016 at 1:45 pm #324630
    subcream1
    Member
    • Topics: 2
    • Replies: 1
    • ☆

    hello sir , please confirm

    if
    non -savings = $4000.00
    savings =$71000.00
    dividends = 100000

    tax compuation
    non savings
    ( 4000* 20%) = $800
    savings
    1000* 0% =0
    (31785-5000) *20%= 5257
    is it
    (71000-31785* 40%= 15686

    just in need with that help
    thank u so much

    July 5, 2016 at 5:53 pm #324744
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    No the remaining amount of the savings income to be taxed within the higher rate band is computed as 71,000 – 27,785 (1,000 (taxed at zero %) + 26,785 (taxed at 20%))

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