The project cost was initially R6170 in the beginning of 2020 for a automated selling system. During
Question:
The project cost was initially R6170 in the beginning of 2020 for a automated selling system. During the year 2020 a profit before tax and depreciation was made of R5425. Depreciation was calculated as R1749 for the year 2020. During the year 2021 a profit before tax and depreciation was made of R4336. At the end of the year 2021 depreciation was again calculated as R1833. The automated selling system was sold at the end of 2021 at book value. Book value is the Initial cost - the sum of all depreciation.
The company is taxed at 28% of profit before tax. The company uses MARR of 100*0.285%.
Calculate the amount of tax paid in 2021 to two decimals accurate?
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill