1. Chakra's Business Tax Liability for the Tax year Ending 31st March 2024 [14 marks] Chakra Ltd started trading on 3rd April 2023. All the costs spent on obtaining consents and building the recycling plant were incurred after 3rd April 2023 and are fully deductible from the total tax bill. That means that $2.5million and $105,000 are fully deductible from your tax bill. The tax bill will be 30 percent of $600,000 in sales, after which Chakra can deduct $300,000 for materials and $1 million for bills. So the tax refund is 30% of $ 600,000 = $180,000 Minus consent costs and building costs $2,605,000 Minus cost of buying materials and bills $1,300,000 Tax liability = - $ 3,725,000 Since the tax liability is negative, Chakra Ltd can get a tax refund of $ 3,725,000 is this correct