Question
Rami works for XYZ Company, and his monthly salary during 2020 was JD 5,000. He received a bonus of JD 6,000 on December 2020. Rami
Rami works for XYZ Company, and his monthly salary during 2020 was JD 5,000. He received a bonus of JD 6,000 on December 2020. Rami is married and has 2 children: a 3 year old and a 7 year old (grade one). He paid JD 4,000 as tuition fees for his first-grade son, and paid JD 500 medical expenses for his young son. He also paid JD 5,500 for rent. Rami made the following donations in 2020: JD 7,000 for Amman municipality, and JD 10,000 for his favorite sport club. The accountant of the XYZ Company used to deduct J.D 500 monthly from Rami's salary and transfer it to the income tax department. Required: Determine the taxable income, adjusted taxable income, the due tax, and the tax balance for the year 2020.
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