PART C During the year the following transactions occurred: At the company's AGM, the shareholders through a special resolution decided to declare a dividend distribution of N$650,000 to be shared in equal proportion in relation to each shareholder's interest. The dividend was to be paid out retained earnings & NS 50,000 of the declared amounts was deemed to be a repayment of capital contributions made by the shareholders. The following information pertains to each shareholder for the year of assessment Salary: Nangoo: NS 570,000; Natumbisa: N$540,000; Ngajoo; NS450,000 Interest income from funds invested at a local bank: Ngajoo; N$40,000; Natumbisa: N$24,300 Other Income: Nangoo: N$65,000; Ngajoo: N$38,700; Natumbisa: N$57,800 Required: 1) Define dividends in terms of the income tax act of Namibia? (2 marks) ii) Discuss & calculate the income tax implications of the dividends for each of the shareholders in the determination of their gross income for the year of assessment. (Assume their year-ends coincide with that of Capri) (8 marks) 11) Discuss the income tax implications of the interest income from the local banks for Ngajoo & Natumbisa in the determination of their gross income for the year of assessment (6 marks) Hii) Calculate the taxable income as far the information given in parte permits for all the shareholders for the 2019 year of assessment (5 marks) Page 30 of 30 iv) By, way of a brief explanation state how the Namibia income tax act relates to non- resident taxpayers? (4 marks) PART C During the year the following transactions occurred: At the company's AGM, the shareholders through a special resolution decided to declare a dividend distribution of N$650,000 to be shared in equal proportion in relation to each shareholder's interest. The dividend was to be paid out retained earnings & NS 50,000 of the declared amounts was deemed to be a repayment of capital contributions made by the shareholders. The following information pertains to each shareholder for the year of assessment Salary: Nangoo: NS 570,000; Natumbisa: N$540,000; Ngajoo; NS450,000 Interest income from funds invested at a local bank: Ngajoo; N$40,000; Natumbisa: N$24,300 Other Income: Nangoo: N$65,000; Ngajoo: N$38,700; Natumbisa: N$57,800 Required: 1) Define dividends in terms of the income tax act of Namibia? (2 marks) ii) Discuss & calculate the income tax implications of the dividends for each of the shareholders in the determination of their gross income for the year of assessment. (Assume their year-ends coincide with that of Capri) (8 marks) 11) Discuss the income tax implications of the interest income from the local banks for Ngajoo & Natumbisa in the determination of their gross income for the year of assessment (6 marks) Hii) Calculate the taxable income as far the information given in parte permits for all the shareholders for the 2019 year of assessment (5 marks) Page 30 of 30 iv) By, way of a brief explanation state how the Namibia income tax act relates to non- resident taxpayers? (4 marks)