Accounting Lucy has furnished her income details for the tax year 2019-20 as below: 

£ (a) Employment income 7,000 per month (PAYE £2,000)

(b) Trading income 82,000 for the year 

(c) Building society interest 14,600 for the year

(d) Interest on treasury stock 16,000 for the year 

(e) Bank deposit interest 18,000 for the year 

(f) Interest from NS & I 1,000 for the year

(g) Dividend outside of ISA 27,000 for the year 

(h) Premium bond prize winnings 2,000 for the year She paid for qualifying interest payment £ 400 per month and also makes payment of £ 20,000 to NSPCC under the gift aid scheme. You are required to calculate Taxable Income and Tax liability for 2019-20 as per UK tax law.

Answer rating: 100% (QA)

TAXABLE INCOME FORMULA GROSS TOTAL INCOME DEDUCTIONS EXCEPTIONS ARE ALLOWED F... View the full answer