Question $3$

$[12$ Marks$]$

Nthabi is the owner of Brown Dee Limited $("$BD$").$ BD purchased a delivery vehicle on $1$ March $2021$ for an amount of R$280000.$ BD was entitled to a S$11($e$)$ allowance of $20\%$ p$.$a$,$ on the delivery vehicle.

The delivery vehicle was sold on $1$ November $2023$ for an amount of R$300000.$

Required:

Use the above information to calculate both the tax value and the recoupment for the year ending $29$ February $2024.$

ANNEXURE A:

Retirement Lump Sum Benefits

$2024$ tax year $(1$ March $2023-29$ February $2024)$

$\backslash$table$[[$Taxable income $($R$),$Rate of tax$],[1-550000,0\%$ of taxable income$],[550001-770000,18\%$ of taxable income above $550000],[770001-1155000,39600+27\%$ of taxable income above $770000],[1155001$ and above,$143550+36\%$ of taxable income above $1155000]]$

$(1$ March $2014-28$ February $2023)$

$\backslash$table$[[$Taxable income $($R$),$Rate of tax$],[1-500000,0\%$ of taxable income$],[500001-700000,18\%$ of taxable income above $500000],[700001-1050000,36000+27\%$ of taxable income above $700000],[1050001$ and above,$130500+36\%$ of taxable income above $1050000]]$

Withdrawal Benefit

$2024$ tax year $(1$ March $2023-29$ February $2024)$

$\backslash$table$[[$Taxable income $($R$),$Rate of tax$],[1-27500,0\%$ of taxable income$],[27501-726000,18\%$ of taxable income above $27500],[726001-1089000,125730+27\%$ of taxable income above $726000],[1089001$ and above,$223740+36\%$ of taxable income above $1089000]]$

$(1$ March $2014-28$ February $2023)$

$\backslash$table$[[$Taxable income $($R$),$Rate of tax$],[1-25000,0\%$ of taxable income$],[25001-660000,18\%$ of taxable income above $25000],[660001-990000,114300+27\%$ of taxable income above $660000],[990001$ and above,$203400+36\%$ of taxable income above $990000]]$

ANNEXURE B:

Interest Exemptions $2024$ rates

Interest from a South African source earned by a natural person is exempt, per annum, up to an amount of:

$\backslash$table$[[$Person younger than $65,$R$23800],[$Person $65$ and older,R$34500]]$