Solution of jessie james (46 years of age and a disabled person as defined) had the following receipts and accruals during the 2020 year of assessment: receipts from a restaurant operated in his own name 650 000 salary received from part-time employment 180 000 dividends from south african companies 50 000 interest from local bank 43 800 interest on tax free investment 800 jessie incurred the following expenses during the current year of assessment: jamie incurred expenses related to the restaurant for maintenance to the building 120 000 additional medical expenses paid 26 152 monthly medical aid contribution 2 050 (james and his wife are members of the fund) jessie paid the following pre-paid taxes: paye with regards to part-time employment 45 000 provisional tax 80 000 in addition to the above information jessie james had also made a profit of r200 000 on the sale of asset which he sold in the current year of assessment. question 1 calculate jessie’s normal tax liability for the 2020 year of assessment

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Solution of jessie james (46 years of age and a disabled person as defined) had the following receipts and accruals during the 2020 year of assessment: receipts from a restaurant operated in his own name 650 000 salary received from part-time employment 180 000 dividends from south african companies 50 000 interest from local bank 43 800 interest on tax free investment 800 jessie incurred the following expenses during the current year of assessment: jamie incurred expenses related to the restaurant for maintenance to the building 120 000 additional medical expenses paid 26 152 monthly medical aid contribution 2 050 (james and his wife are members of the fund) jessie paid the following pre-paid taxes: paye with regards to part-time employment 45 000 provisional tax 80 000 in addition to the above information jessie james had also made a profit of r200 000 on the sale of asset which he sold in the current year of assessment. question 1 calculate jessie’s normal tax liability for the 2020 year of assessment

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

Blurred answer
Knowledge Booster
Tax loss carryovers
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education