Letitia is a 42-year-old South African resident. During the 2023 year of assessment, her employer awarded...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Letitia is a 42-year-old South African resident. During the 2023 year of assessment, her employer awarded a bona fide bursary to the value of R20 000 for her 12-year-old son to continue his studies at Bishops Primary, a recognised educational institution. Letitia's remuneration proxy' is R601 000 for the 2023 year of assessment. Letitia believes that the bursary of R20 000 is exempt from normal tax and that she does not have to pay any tax on the bursary. REQUIRED: Advise Letitia, with reference to the Income Tax Act, whether she is correct in stating that she will not be liable to pay tax on the R20 000 bona fide bursary. amon LANG LEKKE TATA (12 marks) Letitia is a 42-year-old South African resident. During the 2023 year of assessment, her employer awarded a bona fide bursary to the value of R20 000 for her 12-year-old son to continue his studies at Bishops Primary, a recognised educational institution. Letitia's remuneration proxy' is R601 000 for the 2023 year of assessment. Letitia believes that the bursary of R20 000 is exempt from normal tax and that she does not have to pay any tax on the bursary. REQUIRED: Advise Letitia, with reference to the Income Tax Act, whether she is correct in stating that she will not be liable to pay tax on the R20 000 bona fide bursary. amon LANG LEKKE TATA (12 marks)
Expert Answer:
Answer rating: 100% (QA)
According to the Income Tax Act a bona fide bursary or scholarship granted to enable or assist any p... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these finance questions
-
Megan is a 36 year old South African resident who enjoy certain fringe benefits as part of her salary package. The details of these fringe benefits are as follows: Accommodations : Megan's employer...
-
Mavuso is a 43 year old South African resident who was employed by Veg and Fruit limited , a South African company , until November 2022. On 30 November 2022 Veg and Fruit ceased its operations and...
-
In hiring a prospective employee, there are legitimate reasons for not hiring someone. For example, the prospective employee may not meet legal requirements (i.e., he or she is a minor and cannot...
-
Suppose that Marthas income rises to $42,000 per year, and that she increases her consumption of health care visits by fi ve visits. Using the graphs for Exercise 1, draw the new equilibrium. What is...
-
Take a step back in time and imagine Best Buy in its infancy as a company. The year is 1966. Required 1. Read the history of Best Buy at BestBuymedia.tekgroup.com. Can you determine from the history...
-
You combine your savings with five friends to buy a large sailboat. What form of ownership makes the most sense for your group?
-
Can managers focus too aggressively on productivity?
-
This case provides a comprehensive and realistic review of WACC computations and some of the theoretical questions related to the WACC and its uses. 1. Compute the yield to maturity and the after-tax...
-
What addition fact is illustrated by the fraction-strip models in part (a) and part (b) below? (a) + (Type an equation. Use integers or fractions for any numbers in the equation.)
-
Assign latest poverty to a three-column table with one row for each country that appears in the poverty table. The first column should contain the 3-letter code for the country. The second column...
-
(c) How do you classify an image form their histogram whether it is dark, bright, low contrast and high contrast? Draw the histogram for each class. The histogram of an image of size 64*64 with gray...
-
let (Q((x)) have the ordering described in Example 25.9. List the labels a, b, c, d, e of the given elements in an order corresponding to increasing order of the elements as described by the relation...
-
Access the Indiana State Department of Healths website at https:// www.in.gov/health/cshcr/reports-on-health-care-facilities/hospitalreports/2019-hospital-audited-financial-statements. Look at the...
-
Which of the project attributes shown in Figure 4.1 can be eliminated and still consider the project successful? Figure 4.1 Document Cost Schedule Jobsite Team Safety Quality
-
Define the word brand in 10 words or less.
-
Reference Figure 12.15 and use the following information to complete the requirements. A. Determine the federal income tax withholdings amount per monthly pay period for each employee. B. Record the...
-
Part C - Accounting for long-term assets (8 marks) The following transactions were completed by Pearl Company during its year ended 31 December 2021: Jan. 1 Jan. 1 Jul. 2 Oct. 1 Nov. 1 Dec. 31 Dec....
-
"Standard-cost procedures are particularly applicable to process-costing situations." Do you agree? Why?
-
Ken paid the following amounts for interest during 2012: Qualified interest on home mortgage...........................................$4,700 Auto loan...
-
Phil and Linda are 25-year-old newlyweds and file a joint tax return. Linda is covered by a retirement plan at work, but Phil is not. a. Assuming Phil's wages were $27,000 and Linda's wages were...
-
Fisafolia Corporation has gross income from operations of $220,000 and operating expenses of $160,000 for 2012. The corporation also has $20,000 in dividends from publicly traded domestic...
-
Assess surface water and groundwater resources around the world and compare them with the US share of total surface water and groundwater resources. Hint: use UNESCO, Worlds water...
-
Name the main components of the urban water cycle and discuss their relationship.
-
Identify the federal and national agencies directly involved in the management of the hydroclimatic cycle, at least one in each part of the globe.
Study smarter with the SolutionInn App