1 Taxpayer working at a manufacturing company recorded the following journal entry in 2021:
Dr. Bad debt expenses SAR 100,000
Cr. Allowance for doubtful accounts 100,000
Required: What is the tax treatment for those provisions?

2 Non-resident persons received income from Saudi companies against services provided in the kingdom.
Required: Is the non- resident person subject to income tax? If yes what is the name of the tax and its tax rate?
Answer:

3 When Saudi persons are subject to income tax According to the income tax law in the kingdom?

4 Taxpayer disposed of a non-depreciable asset with a cost base of SAR 100,000 by gift.
Required: What is the tax treatment for the assets disposed of?

5 Taxpayer has written off accounts receivable with a book value of SAR 50,000 not previously taxable.
Required: Is this bad debt deductible expense?

Answer rating: 100% (QA)

1 The tax treatment for bad debt provisions is that they are deductible expenses for ... View the full answer