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Question Two:Mr. Zedi Chriss is an employee with Tuliwamu Feed for the Future, a charity organisation helping to get children out of the streets. He

Question Two:Mr. Zedi Chriss is an employee with Tuliwamu Feed for the Future, a charity organisation helping to get children out of the streets. He works as the Assistant Program Officer and for the year ended 30th June 2022 the following transpired.

Zedi is entitled to monthly refund of Shs. 400,000/= for expenses incurred while on official duties.

He earns a basic salary of shs. 6,000,000 per month

Entertainment allowance shs. 1,200,000 per monthAccommodation; rented at Shs. 6,000,000 per annum paid by the Employer to the land lord.

Transport; He drives a Prado that cost shs. 30,000,000 for both private and official use. Private use is estimated at 30 days per quarter. He contributes to the employerShs. 25,000 per month for the benefit.

The school fees for his children are met by the employer .The amount involved is Shs. 4,000,000 per annum

In Dec 2021 the employer gave Zedi 2 air tickets worth Shs. 5,000,000, for honeymoon with his wife. He also received leave pay of shs. 2,000,000

The Employer pays 100,000 life insurance premiums per month on his behalf.

Zedi employs a shamba boy whom he pays Shs. 300,000/= per month. Of this 70% is paid by the employer.

During the year, the employer sent Zedi to CUU for 10 days training on Visioning and Strategic Planning. He was given Shs. 2,500,000 estimated to cover the cost of travel, accommodation and meals.

Required: From the above information, Compute:

a)Mr. Zedis taxable income for the year ending 30thJune 2021. (15Marks)

b)His tax liability for the same period assuming(i)He is a resident(05Marks)

(ii)He is a non-resident(05Marks)

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