Instructions:

You are required to download the IT$12$ form from the Tax Administration Jamaica $($TAJ$)$ Website, use the information below to fill out the form and upload your response in Moodle in pdf$.$ This discussion question is due on or before July $22,2024$

A$.$ Love All Foundation is now a Registered Charitable Organization. The following are transactions that took place for the year of assessment $2021$:

$1.$ There was assistance given to members of the surrounding community in which the company operates, and this amounted to $$2,000,000\mathrm{.}00.$

$2.$ The Foundation applied for and received $$5,000,000$ from CHASE Fund to help with their outreach programme in their community. This was considered a government subvention.

$3.$ The organization received $$200,000\mathrm{.}00$ gross from investment on promissory notes, the bank withheld tax at $25\%.$

$4.$ The Foundation partnered with Food For The Poor to build a one$-$bedroom house costing $15,000,000\mathrm{.}00$ for a senior citizen that resides in the community. The Foundation contributed one third of the cost for this project.

$5.$ There is a cost of $$775,000\mathrm{.}00$ associated with the house that the Foundation is renting.

$6.$ The total salary and wages for $2021$ was $$3,650,000\mathrm{.}00.$ In addition to the salaries paid, the Foundation paid $$457,000\mathrm{.}00$ statutory contributions to the tax authorizes.

$7.$ The Foundation held a health fair on the grounds of the nearby high school.

The health fair was well attended, and it cost the Foundation $$5,500,000\mathrm{.}00$ to organise. The Foundation was able to receive donations of $$6,300,000\mathrm{.}00$ from local companies and individuals to offset some of the cost.

$8.$ The foundation had fundraising activities during the year and the total amount realized was $$2,940,000.$

$9.$ The accounting firm charges $$350,000\mathrm{.}00$ for the annual audit of the Foundations financial statements.

$10.$ The staff members of Love All Limited donated $$500,000$ from their salaries to help the Foundation and Love All Limited contributed to the Foundation by matching the amount donated by the staff and paid a cheque for the full amount to the Foundation. In addition, the affiliate company in the UK$,$ BCL Limited donated $25,000$ when the exchange rate was JA$$160$ to $1.$

$11.$ The Foundation held its annual Scholarship program and disbursed $$1,400,000$ in scholarships and grants to students in the community.

$12.$ The organization receives rental income from the house that it rents for the year of $$1,675,000\mathrm{.}00.$ This is a taxable income as the house is not registered under the name of the foundation.

RIequired:

Prepare the Annual Return $($IT$12)$ of Income Tax Payable for the Foundation for $2021.$