Constable Joe is married with seven children, five of them attending first and second cycle institutions in Ghana he provides the following information for 2014. Ghc ¢ Salary 3,600,000 Overtime and other allowances 300,000 Dividend (net) 81,000 10% on tax dividend 9,000 Social Security Employee 5% Employer 12.5% Life insurance policies :
Constable Joe is married with seven children, five of them attending first and second cycle institutions in Ghana he provides the following information for 2014.
Ghc ¢
Salary 3,600,000
Overtime and other allowances 300,000
Dividend (net) 81,000
10% on tax dividend 9,000
Social Security
Employee 5%
Employer 12.5%
Life insurance policies :
Cover Sum Assured Premiums
Own life ¢2,500,000 ¢ 300,000
Own life ¢1,250,000 ¢90,000
Wifes life ¢2,000,000 ¢175,000
Employer provides the folllowing;
i. Motor car and fuel for both official and private use
ii. Accommodation and use of company Gas cooker, deepfreezer, and refigerator.
iii. Joe pays 7.5% of his basic salary to his employer as rent.
iv. His employers deducted PAYE of ¢460,000 cedis.
You are required to calculate constable Joe’s tax liability for the year.
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