Karen Simpson is an employee receiving the following from her employment and other sources. i. Salary $ 1,820 000 per annum. (PAYE of $5120 deducted at source monthly) ii. She received dividends from Jack Plc, a company that is traded on the Jamaica Stock Exchange. She received $ 102 000 net of tax iii. She is 66 years old and is in receipt of $ 180 000 per annum from an approved pension scheme iv. Her other investments include an account at NCB from which she received interest of $60 000 (net).

Required: A. Compute Karen’s taxable income and income tax liability for the year of assessment 2018.