Question $6[10]$

Calculate the tax payable by each of the following taxpayers.

My Services Ltd

The Company is classified as a personal service provider for income tax purposes. The company has a taxable income of R$200000$ for the $2013$ year of assessment. Personal service are taxed at a flat rate of $33\%$ of taxable income.

Small Business Ltd

The company is classified as a small business corporation for income tax purposes. The company has taxable income of R$150000$ for the $2013$ year of assessment. All small business corporations are taxed on the following sliding scale: no tax is payable on the first

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R$54200$ of taxable income, $10\%$ income tax is payable on taxable income between R$54200$ and R$300000,$ and $28\%$ income tax is payable on taxable income above R$300000.$

Micro$-$business Ltd

The company is classified as a micro$-$business for income tax purposes and it elected to be taxed on turnover. The company has a turnover of R$250000$ for the $2013$ year of assessment. Micro$-$business Ltd elected to be taxed on turnover, i$.$e$.$ to be taxed on the following sliding scale: no tax is payable on the first R$100000$ of turnover, $1\%$ income tax is payable on turnover between R$100000$ and R$300000,3\%$ income tax is payable on turnover between R$300000$ and R$500000,5\%$ income tax is payable on turnover between R$500000$ and R$750000,$ and $7\%$ on turnover above R$750000.$

YOU ARE REQUIRED to calculate the normal tax payable for the $2013$ year of assessment for each of the above mentioned taxpayers.