Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Good day kindly help me with these true or false questions QUESTIONS (20 MARS) Consider the statements below and Indicate which of the following statements

image text in transcribed

image text in transcribed

Good day kindly help me with these true or false questions

QUESTIONS (20 MARS) Consider the statements below and Indicate which of the following statements are TRUE or FALSE. You are only required to write the number and your answer. E.g., 1. True 1. All allowances received as a result of employment are taxable in terms of the provisions of s8 of the Income Tax Act. 2. All allowances are remuneration as defined in the 4th Schedule. 3. Amounts paid to reimburse the exact expenditure incurred by an employee on behalf of the company are gross income and remuneration as defined. 4. The taxpayer may elect either actual costs or deemed costs in determining the travel costs to apply against the travel allowance (assuming the taxpayer has the necessary documentation, including a logbook). 5. The amounts deemed to have been spent by a taxpayer on subsistence while away from home on behalf of the employer are the only amounts that may be used to reduce the allowance received from the employer. 6. The 7th Schedule determines the value of the fringe benefit to include in gross income. 7. In calculating the value of use of a motor vehicle, the value of the vehicle excludes value-added tax irrespective of the employer's vendor status (i.e. whether the employer is a VAT vendor or not). 8. Where the employee receives use of a vehicle and a travel allowance in respect of the same vehicle, the value determined for the use of the vehicle may neither be reduced by any consideration paid by the employee for the use nor may the employee make use of the deemed expenditure option to determine the travel costs. 9. Meals provided by a canteen operated by the employer for the employee are taxed as fringe benefits in the employee's tax return. 10. The benefit derived from a low-interest loan is the difference between the official rate and the lower rate paid by the employee

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Finance A Practical Perspective

Authors: Adrian Buckley

1st Edition

0273731866, 9780273731863

More Books

Students also viewed these Accounting questions

Question

analyze how research and writing unites with design.

Answered: 1 week ago