Question
Aisha ltd owns a number of housing units in Kampala city which she lets out. The following was reported for the year ended 30 th
Aisha ltd owns a number of housing units in Kampala city which she lets out. The following was reported for the year ended 30th June 2020.
Location of property | Number of units | Rent per month per unit |
Bugolobi Bukoto Kireka Muyenga | 3 | 500,000 |
4 | 600,000 | |
6 | 250,000 | |
7 | 800,000 |
Additional information;
The following expenses were incurred during the year in the provision of the housing units to generate income.
General expenses | 600,000 |
Cleaners wages Utilities Stationery Garbage collection | 8,758,000 |
2,000,000 | |
625,000 | |
1,750,000 |
Two houses in Kireka and 3 units in Muyenga were not in use for the 3 months and 4months periods respectively
Required;
I. Compute Aisha Ltd taxable rental income and tax liability for the year of income ending 30th June
2020
II. Supposing the properties were for Aisha a non-resident, would the taxable income and tax liability be of any difference. Justify.
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