Personal Tax help questions with no answers.
reddwarf
Registered Posts: 528 Epic contributor 🐘
Quick moan, why do text books do that  no answers to some of the questions?
Any way problem is this:
'Prepare Tax computation, including calculations of total income tax liablity and the part that has yet to be paid or refunded'
'General Income 5000
Savings Inc 14625
Dividends 4500
personal allowance 6035
Taxable income 18090'
My probem is how to tha lay out the computation because the general income is 1035 and
Would someone like to set it out for me?
I think the answer is a refund of £489.
Unfortunately our tutor is ill at present but does anyone know where to get the answers to the questions with out answers in the Osborne books?
Any help appreciated.
Any way problem is this:
'Prepare Tax computation, including calculations of total income tax liablity and the part that has yet to be paid or refunded'
'General Income 5000
Savings Inc 14625
Dividends 4500
personal allowance 6035
Taxable income 18090'
My probem is how to tha lay out the computation because the general income is 1035 and
Would someone like to set it out for me?
I think the answer is a refund of £489.
Unfortunately our tutor is ill at present but does anyone know where to get the answers to the questions with out answers in the Osborne books?
Any help appreciated.
0
Comments

sorry !tax alread paid is 34250

not sure off your discription red but i get tax payable of 900
tax comp
total non savings savings dividends
gen income 5000 5000
savings 14625 14625
dividends 5000 4500
4500x100/90
taxable income 24125 5000 14625 5000
personal all 6035
18090 5000 14625 5000
non savings
4500 x 0.20 900
savings
14625 x 0.20 2925
dividends
5000 x 0.10 500
total tax liability 4325
3425
tax payable 9000 
have it saved on excel anyway so when am back tomoz i can send what i did even if the answer is wrong i have the lay out0

Sorry should have said the savings and dividends are the gross amounts....
General income 5000  6035 = (1035)
I suppose my question is do you take off the 1035 (50006035) from savings income(14625) before calculating the tax e.g. 14625  1035= 13590 = 2320 x 10% = 232, 11270 x 20% = 2254 total = 2486
dividends = 4500, so 2320 x 10% = 232
2180 x 10% = 218 (or 4500 x 10% =450!)
total tax payable 2936 less tax paid 3425 = 489 (refund)
c u in the moning!0 
Yeah, the left over 1035 from the PA then gets taken off the total of savings income. so no general income, 13590 savings income and 4500 dividends income to tax0

also the 2320 10% band gets taken off the savings income, and all of the 4500 is takable at 10%, not only 2320 of it0

Thank you! I would have liked to see how the layout worked for the negative general income in a computation but the book didn't show an answer  very annoying!0

if you send me the question when i email you later i will work on it it and see my compaired answer0

Hi. The answer is a refund of £39. We did this in class this week. I got it wrong!!!
The total taxable income was £17590
Calculation was:
Emplyment £5000  £6035 = (£1035)
Savings £14625 £1035  £13590
Dividend £4000
Savings £2320 x 10% = £232 and then £11270 x 20% = £2254 total £2486
Dividend £4000 x 10% = £400
Savings + dividends = £2886
Less already paid of £2925
Income tax to be refunded (£39)0 
thanks0
Categories
 All Categories
 1.2K Books to buy and sell
 2.3K General discussion
 12.5K For AAT students
 323 NEW! Qualifications 2022
 165 General Qualifications 2022 discussion
 11 AAT Level 2 Certificate in Accounting
 56 AAT Level 3 Diploma in Accounting
 88 AAT Level 4 Diploma in Professional Accounting
 8.8K For accounting professionals
 23 coronavirus (Covid19)
 272 VAT
 92 Software
 273 Tax
 135 Bookkeeping
 7.2K General accounting discussion
 200 AAT member discussion
 3.8K For everyone
 38 AAT news and announcements
 345 Feedback for AAT
 2.8K Chat and offtopic discussion
 582 Job postings
 16 Who can benefit from AAT?
 36 Where can AAT take me?
 42 Getting started with AAT
 26 Finding an AAT training provider
 48 Distance learning and other ways to study AAT
 25 Apprenticeships
 66 AAT membership