(a) Mou Lih retired on 1 Jan 2020 at age 58. Details related to the year ended...
Question:
(a) Mou Lih retired on 1 Jan 2020 at age 58. Details related to the year ended 30 Jun 2020 were:
(i) He received $24,325 gross salary up to the date of retirement.
(ii) He has opted to receive his Superannuation on an income stream basis. The gross pension received was $21,583.
(iii) He has incurred $52 being transportation expenses in relation to work. This was not reimbursed by his employer. This is allowable deduction.
(iv) The employer has deducted $2,030 as PAYG. The pension has paid $270 as PAYG.
(v) The Superannuation Fund Payment Summary stated the tax-free component of his superannuation income stream was $5,716.
Required
Calculate Mou Lih’s taxable income and net tax payable or refundable for the year ended 30 June 2020. (9 marks)
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon