Ms.Sabeena owns 2 furnished houses, both houses are let out for residential purposes. The details of each residential property for the tax year 2019/20 are as follows: 1st house: In 2018, She purchased the house by borrowing loan of 100,000, for which she pays interest at 8% per annum. The amount of loan is still outstanding during the tax year 2019/20. She let out this house for 24,000 per annum as rent, payable monthly in advance. The tenant was very regular in the payment of rent in the beginning of each month, but he failed to give rent in the beginning of July 2019. Ms.Sabeena was behind the tenant following the rent. But by the end of July 2019, the tenant vacated the property without informing Ms.Sabeena and she tried her best to find out the whereabouts of the tenant but later understood that the tenant left the country and he will not come back again. Then she started searching for new tenant and she was able to find new tenant from 1 October 2019 with Rent of 32,000 per annum payable monthly in arrears. New tenant has been paying the rent regularly without fail. During the tax year 2019/20, The details of expenses incurred and paid by Sabeena are as follows: 20/4/2019, She paid water tax of 500. But the council tax has been paid by the tenant 400. Also, on the same date, she spent 1000 to repair the property 1/7/2019, she paid insurance of 1,800 for the property, out of which 450 will be for tax year 2020/21 (for next year). 1/10/2019, when new tenant occupies the house, she replaced the old sofa set by paying 2,500. She sold the existing sofa set for 200. On the same date, she purchased new washing machine for 3,000, which was not in the house before. She also replaced the old 32 normal TV- with 55 smart TV costing 2000. The market value of similar type of old TV is 800. Also, she sold the old TV for 50.

2nd House: furnished house: On 1 May 2019, she purchased an old house (house no.2) for 50,000 and gave the house for rent from 1 July 2019 for a monthly rent of 800. Before giving for rent she spent 5000 to replace the front and back door. Before replacing, it had wooden doors with single key, but she replaced it with strong steel doors with double lock. She replaced the wash basin in washroom with similar standard by spending 500. For furnishing the house, she spent 2200 for curtain and carpet and purchased sofa set costing 1,500. She paid water tax and council tax totaling 600 for the year. On 20 March 2020, she incurred 1000 to repaint the entire building but she paid for the same on 1/5/2020. Other information: Ms.Sabeena has received 16,000 Interest on Debenture (Loan notes), 5,000 Interest from Government Bond, 300 from National Savings Certificate and 200,000 from winnings from Lottery. Sabeena received Dividend of 30,000 from UK Company. During the tax year Ms.Sabeena has contributed 1,600 to personal pension contribution and donation 2,000 for charity. a) You are required to calculate the tax liability and tax payable of Ms.Sabeena for the Tax year 2019/20 c) Explain with example, the tax implication of Saving Nil Rate band and Dividend Nil Rate Band. How it affected the tax of Ms.Sabeena?