Exhibit B

I refer to our telephone conversation earlier today. As I explained, I am the book-keeper for Katy; Fox Accountants also carries out the audit for Katys company (KK Limited) and prepares the companys corporation tax computation. I understand that you provide all Katys personal tax advice including preparing her SA100 tax return.

During our conversation you asked if I had a copy of Katys P60, Im afraid I do not have a copy as it was given to Katy. However I can tell you that in the tax year 2021/22 Katys net salary was 22,925 after deduction of 15,175 PAYE (11,570 tax and 3,605 NIC).

You also asked if I could supply you with a copy of Katys P11D. Again, I do not have a copy of this, but I do know that the benefits Katy received from KK Limited in 2021/22 were:

• Car: a petrol Land Rover Discovery 4 which cost KK Ltd 42,800 (after discounts) in May 2020. The car has a list price of 43,200 and CO2 emissions of 164g/km. Only 4,000 miles (10% of the mileage) was for business purposes in 2021/22. Katy paid for all petrol but reclaimed 50p a business mile from KK Limited.
• Unlimited use of two iPhone 11 mobile phones which cost 450 each when KK Ltd purchased them in October 2020. KK Ltd pays total monthly contract fees of 60. (Katy uses one phone exclusively for work purposes and one for private calls).
• Medical insurance: KK Ltd paid 850 during the tax year to provide Katy with full medical insurance. It would have cost Katy 1,800 to get the same level of insurance directly with the insurer.

Calculate employment income for Katty. Make sure you correctly identify and calculate all the BIKS. You are required to use UK tax rules.