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Question 20 YULOTTES HOW Question 2 Jack and fill are a married couple who live in England. They received the following income in 2019/20: Particulars

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Question 20 YULOTTES HOW Question 2 Jack and fill are a married couple who live in England. They received the following income in 2019/20: Particulars Jack Jill E E Salary (before tax deduction) 150,000 96,500 PAYE 57,434 27,654 Dividends 14,654 8,008 Bank Deposit Interest 8,000 650 Building Society Interest 6,800 880 Jack has a qualifying interest paid of 1,000 and also had income from his own private business equals to 8,365 Jill made a gift aid donation of 3,200 in November 2019. They were given child tax benefit of 8000 for their daughter during 2019/2020. Required:Compute the tax payable by Jack and Jill for 2019/20. Additional Information: TAX RATES AND ALLOWANCES (FA 2019) Income Tax Normal rates Dividend rates Basic rate 1 to 37,500 20% 7.5% Higher rate 37,501 to 150,000 40% 32.5% Additional rate 150,001 and over 45% 38.1% Savings income nil rate band - Basic rate taxpayers 1,000 Higher rate taxpayers 500 Dividend nil rate band 2,000 A starting rate of 0% applies to savings income where it falls within the first 5,000 of taxable income. Personal Allowance E Personal allowance Personal Allowance Personal allowance 12,500 Transferable amount 1,250 Personal allowance is reduced by 1 for each 2 by which adjusted net income exceeds 100,000 Adiusted est income Adjusted net income income-gross amounts of aid donations and personal pension contribution Chedefiincome Tax Charee Where the set income of payer is between 50.000 and 60.000, the charges of the amount of child be received for every 100 of sted income over 50,000. If the paper det the changes to fill meet of best behalve de income in of 50,000, the period wall for the charge Gift Aid Donations & Personal Pension Contributions Amounts of donations and personal pension contributions when net are grossed up as follows: Amount of donations/personal pension contributions paid * 100/80 11

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