Hc) Mr. Ayub Mate is a tax consultant working with Malipo and Associates a firm of certified public accountants The following information has been availed to you in relation to the income and benefits received by Mr. Mate for the year ended 31st December 2020. 1. Basic salary sh.80,000 per month PAYE Sh. 18,000 per month) 2. He lived in a house which was leased by the firm from one of the partners at a monthly rent of sh. 45,000. The market rental value of the house was estimated at Sh. 60,000 per month. The house was fully furnished by the firm at a cost of Sh. 200,000 and connection to a telephone line whose average bill per month was Sh.6,000 3. The farm advanced him a loan of sh. 2,000,000 payable over three year period whose interest rate was 8% per annum. The market interest rate was 12% per annum. 4. He received a pension of sh. 40,000 from his previous employer 5. His annual grocery bills amounting to sh. 48,000 for the year were settled by the firm 6. During the year, he received a reimbursement of sh 400,000 for medical expenses incurred. The medical scheme is not discriminative 7. He worked out of office for six days in July 2020 and the firm paid him a night out allowance of sh 3,500 for each of the six days. 8. The firm paid Sh. 10,000 per month towards his life insurance policy 9. He was provided with a company car of 2500 cc which was acquired by the company on 1st July 2018 at a cost of sh. 3,500,000. 10. He is a member of a registered pension scheme to which he contributed Sh. 25,000 per month while the firm contributed an equal amount. 11. On 1st October 2020, he moved to his own house which he had constructed using a mortage loan of Sh. 4,000,000. The interest rate on the mortgage was 12% per annum