Mr. Wong owns a flat in Wanchai which was leased on 1 April 2020 for a period of 2 years for $10,000 per month. He paid rates of $4,000 and mortgage interest of $100,000 in respect of this flat for the year ended 31 March 2022. On the other hand, Mr. Wong is employed by Silver River Limited (a company incorporated, managed and controlled in Hong Kong) as an accounting manager. His employment contract was negotiated and concluded in Hong Kong. During the year ended 31 March 2022, Mr. Wong received: (1) Annual salary of $480,000 and holiday allowance of $40,000 (he spent the whole amount on a holiday journey to Japan). (ii) Silver River Limited provided him with a company credit card which he had used to purchase a hi-density television set (the cost is $66,000) for his family. (iii) In addition, he received a cash scholarship of $10,000 from Silver River Ltd to study an evening information system course offered by the School of Continuing Education at Hong Kong Baptist University. (iv) He was also provided with a flat in Tai Po by Silver River Limited at a monthly rental of $4,000. Mr. Wong's wife operated a grocery store in Shatin, and the agreed assessable profit for the year ended 31 March 2022 was $100,000. Mr. Wong has the following expenditures for the year ended 31 March 2022: (i) He paid $2,100 of annual membership fee to Hong Kong Institute of Certified Public Accountants. (ii) He made a donation of $140,000 to the Community Chest (which is an approved charity for tax purposes). (iii) He contributed a total of $18,000 to the Mandatory Provident Fund. He was married and maintained his two children aged 16 and 20 who are studying in UK. Required: Assume that Mr. and Mrs. Wong have not yet paid any income taxes, and they have elected for personal assessment for the year of assessment 2021/22 on a jointly basis. Compute their tax liabilities for the year of assessment 2021/22. Ignore provisional tax and any one-off tax reduction for 2021/22. Mr. Wong owns a flat in Wanchai which was leased on 1 April 2020 for a period of 2 years for $10,000 per month. He paid rates of $4,000 and mortgage interest of $100,000 in respect of this flat for the year ended 31 March 2022. On the other hand, Mr. Wong is employed by Silver River Limited (a company incorporated, managed and controlled in Hong Kong) as an accounting manager. His employment contract was negotiated and concluded in Hong Kong. During the year ended 31 March 2022, Mr. Wong received: (1) Annual salary of $480,000 and holiday allowance of $40,000 (he spent the whole amount on a holiday journey to Japan). (ii) Silver River Limited provided him with a company credit card which he had used to purchase a hi-density television set (the cost is $66,000) for his family. (iii) In addition, he received a cash scholarship of $10,000 from Silver River Ltd to study an evening information system course offered by the School of Continuing Education at Hong Kong Baptist University. (iv) He was also provided with a flat in Tai Po by Silver River Limited at a monthly rental of $4,000. Mr. Wong's wife operated a grocery store in Shatin, and the agreed assessable profit for the year ended 31 March 2022 was $100,000. Mr. Wong has the following expenditures for the year ended 31 March 2022: (i) He paid $2,100 of annual membership fee to Hong Kong Institute of Certified Public Accountants. (ii) He made a donation of $140,000 to the Community Chest (which is an approved charity for tax purposes). (iii) He contributed a total of $18,000 to the Mandatory Provident Fund. He was married and maintained his two children aged 16 and 20 who are studying in UK. Required: Assume that Mr. and Mrs. Wong have not yet paid any income taxes, and they have elected for personal assessment for the year of assessment 2021/22 on a jointly basis. Compute their tax liabilities for the year of assessment 2021/22. Ignore provisional tax and any one-off tax reduction for 2021/22
