Sheldon Cooper and Leonard Howard are partners in a partnership and they share in profits and losses as follows: Sheldon Cooper: 70% Leonard Howard: 30%

The Bookkeeper has prepared and provided you with the following Statement of Profit or Loss and other Comprehensive income in respect of the partnerships 2021 year of assessment:

Income Gross income: R500 000 Dividends received (note 2): R4 500 Interest from a South African source: R6 360 Settlement: R19 390

TOTAL OF INCOME: R530 250

Less: Expenditure: (R375 450)

Annuities (note 1): R12 000

Retirement annuity fund contributions: Sheldon: R3 00 Leonard: R4 500 Shares purchased (note 2): R75 000

Sundry deductible expenses: R17 900

Delivery van purchased (note 3): R39 600

Donations (note 4): R18 750

Delivery van running expenses: R5 500

Rental paid: R21 600

Staff salaries and wages: R90 000

Drawings: Sheldon (note 5): R6 600

Salaries paid: Sheldon: R36 000 Leonard: R45 000

Net profit: R154 800 Sheldon (70%): R108 360 Leonard (30%): R46 440

Notes:

1. The following annuities were paid during the year to dependants of two deceased former employees: Rajesh and his two children: R8 400 Stewart: R3 600 TOTAL: R12 000

2. During the 2021 year of assessment, the partners decide to invest their surplus cash funds and they purchased 25 000 shares in Pablo (Pty) Ltd, a company registered in the Republic, at R3 a share. The company paid a dividend of R4 500 to the partnership on 31 December 2020.

3. No depreciation has been provided for in the Statement of Profit or Loss and other Comprehensive Income in respect the delivery van which was purchased on 1 May 2020 for R39 600 (excluding VAT). The approved write-off period for delivery vehicles is four years.

4. During the 2021 year of assessment, the partnership made the following donations: To a non-public benefit organisation: R3 750 To a public benefit organisation: R15 000 Official receipts were obtained. Sheldon also donated R20 000 in his own name to a qualifying public benefit organisation and obtained the required receipt.

5. Other partnership information (not taken into account in arriving at the net profit of R154 800): Interest on capital - Sheldon: R20 000 and Leonard: R0

Drawings (including the R6 600 deducted in the Statement of Profit or Loss and other Comprehensive income) Sheldon: R108 000 Leonard: R90 000

6. Both partners are under the age of 65 years. All amounts paid to or on behalf the partners are in accordance with the partnership agreement.

Required: Calculate taxable income of the partnership for the 2021 year of assessment.