Ibrahim and Sara

Ibrahim and Sara are a couple; they received the following incomes in 2019/20.

Ibrahim

Sara

Salary (before tax deduction)

160,000

300,000

PAYE tax deducted

60,000

70,000

Dividends

12,000

15,000

Bank deposit interest

7,000

300

Building society interest

8,000

1,200

Sara made a gift aid donation of 6,000.

Sara received child benefit amounting to 2,501.

Required:

(a) Compute Ibrahims Tax Payable. (2 Marks)

(b) Compute Saras Tax Payable. (2 Marks)

(c) Explain the tax implications of non-job-related accommodation. (1 Mark)