CERTIFICATE LEVEL EXAMINATION
December 2018
(90 minutes)
PRINCIPLES OF TAXATION
This assessment consists of TWO scenario based questions worth up to 20 marks and 40 short
questions each worth 2 marks.
At least 55 marks are required to pass this assessment.
Numeric entry fields
o Enter whole numbers only
o Numbers may be entered with or without a thousand separator (use commas only)
o Negative numbers can be entered with a preceding minus sign or enclosed in brackets
You have 90 minutes to complete the assessment which includes any review period.
Page 1 of 22
Tax Tables FA 2017/18
Resident companies On taxable income
Standard rate 22%
Manufacturing company rate 15%
Resident individuals
P0 – P36,000 Nil
P36,001 – P72,000 Nil + 5% of excess over 36 000
P72,001 – P108,000 P1,800 + 12ꞏ5% of excess over 72 000
P108,001 – P144,000 P6,300 + 18ꞏ75% of excess over 108 000
Over P144,000 P13,050 + 25% of excess over 144 000
Non-resident individuals, trusts and estates
P0 – P72,000 5% of every pula
P72,001 – P108,000 P3,600 + 12ꞏ5% of excess over 72 000
P108,001 – P144,000 P8,100 + 18ꞏ75% of excess over 108 000
Over P144,000 P14,850 + 25% of excess over 144 000
TABLE IV – Applies to Net Aggregate Gains of Individuals (WEF 1 July 2013)
Taxable gain tax payable
More than % on excess
0 - 18 000 0
18 000 - 72 000 0 + 5% on excess over P18 000
72 000 - 108 000 2 700 + 12.5% on excess over P72 000
108 000 -144 000 7 200 + 18.75% on excess over P108 000
over 144 000 13 950 + 25% on excess over P144 000
Capital gains – companies
Net aggregate gains are taxable at the company rates of tax.
Page 2 of 22
Basis of valuation of benefits
Individuals’ vehicle benefit
Vehicle cost Employee benefit Fuel cost
adjustment
P1 - P50 000 P2 500 P1 000
P50 001 - P100 000 P5 000 P2 000
P100 001 - P150 000 P7 500 P3 000
P150 000 - P200 000 P10 000 P4 000
Benefit on the excess of P200 000 is 15% thereof with a maximum fuel cost
adjustment of P5,000.
Individual’s housing benefit:
If rated:
10% of the property’s rateable value prorated by occupation and reduced by any
contribution made by the employee.
If not rated:
Gross floor area x P250 per sq metre x 8%
The benefit is prorated by period of use and reduced by any contribution made by
the employee.
Individual’s furniture benefit
10% of furniture cost in excess of P15, 000 pro - rated by usage.
Page 3 of 22
Capital allowances
The following rates are fixed by Commissioner General of BURS as fair and
reasonable having regard to the expected useful economic lives of the assets listed.
Capital allowances
Furniture and fittings 10%
Office equipment and machinery 15%
Plant and machinery including farming 15%
Motor vehicles, boats and aircraft 25%
Heavy plant and machinery 25%
Computer hardware 25%
Office Equipment 15%
Off-the-shelf computer software 100%
Industrial and commercial buildings
Industrial building – initial allowance 25%
Industrial building – annual allowance 2ꞏ5%
Commercial building – annual allowance 2ꞏ5%
CAPITAL TRANSFER TAX RATES
Aggregate Taxable Value Rate of Tax per cent
1. Person (other company) First P100 000 2 per cent
Next P200 000 3 per cent
Next P200 000 4 per cent
Balance 5 per cent
2. Resident company 12.5 per cent
3. Non-resident company 12.5 per cent
Page 4 of 22
COST OF LIVING INDEX – JULY 1982 to JUNE 2017
YEAR Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1982 --- --- --- --- --- --- 100.0 101.2 101.2 102.1 103.3 103.8
1983 104.1 104.8 105.5 106.6 108.3 108.4 109.0 110.2 110.2 110.7 111.7 112.3
1984 113.5 114.5 115.2 116.0 116.9 118.3 119.1 120.1 119.8 120.7 119.7 119.5
1985 119.9 120.7 122.0 124.1 126.6 128.6 130.1 129.8 131.1 131.5 131.8 132.0
1986 133.9 135.5 135.5 136.8 138.0 140.9 141.2 141.8 142.7 143.4 144.7 146.3
1987 147.4 148.5 148.9 151.9 153.6 154.1 154.9 156.6 156.7 157.1 157.5 158.1
1988 157.8 158.7 160.8 163.4 164.1 165.5 168.0 169.3 171.0 172.6 173.9 174.4
1989 176.9 178.0 180.1 182.7 184.1 186.2 187.3 188.7 190.2 191.1 191.5 194.2
1990 196.6 199.0 200.5 204.1 205.1 206.0 207.2 209.2 210.7 212.6 216.0 217.6
1991 220.5 221.4 223.5 225.8 227.3 229.0 232.0 234.2 237.2 239.5 242.5 244.9
1992 248.3 251.7 256.3 262.1 265.5 269.4 272.3 275.0 277.6 280.1 283.0 285.4
1993 291.0 293.1 295.8 301.1 303.1 306.0 311.6 313.5 315.0 317.6 320.1 321.5
1994 324.2 326.8 328.5 332.7 337.3 340.2 343.1 345.3 347.0 348.4 351.3 353.0
1995 357.9 361.0 364.9 368.6 370.5 374.9 377.8 381.6 384.3 386.0 387.9 391.3
1996 395.5 398.1 402.2 405.6 408.8 413.9 417.0 419.5 421.6 423.8 426.0 428.7
1997 431.6 435.5 439.7 443.6 448.7 451.2 454.1 454.9 457.5 459.7 460.9 461.9
1998 464.8 466.0 469.9 476.0 477.9 478.9 481.0 484.0 484.4 486.9 489.5 491.2
1999 495.1 499.7 504.3 507.5 509.2 513.3 514.3 517.7 521.1 523.5 524.0 525.2
2000 530.8 536.3 538.8 545.5 548.9 552.0 568.6 569.8 571.4 576 577.5 578.7
2001 581.4 582.1 587.2 598.9 596.9 598.6 601.3 603.0 605.4 608.5 610.2 611.0
2002 613.1 613.9 622.1 629.6 631.3 634.0 654.4 662.4 666.7 670.8 677.6 679.3
2003 683.2 689.0 692.2 701.4 705.8 715.0 714.5 698.0 707.0 715.9 717.9 718.9
2004 721.3 728.6 735.8 743.6 754.0 721.3 758.9 761.3 765.7 770.7 772.4 774.9
2005 779.2 781.7 783.8 789.4 801.5 813.2 821.2 834.8 842.3 857.1 859.7 863.1
2006 877.4 884.0 891.5 901.4 909.6 915.0 918.6 924.2 930.8 936.4 935.4 936.4
2007 942.9 948.5 949.5 957.7 968.1 974.5 988.5 991.2 994.1 1004.3 1007.2 1012.8
2008 1022.2 1034.4 1043.1 1064.7 1085.0 1115.1 1136.7 1140.6 1133.8 1135.5 1159.0 1151.2
2009 1152.7 1155.1 1165 1172.8 1176 1193.4 1204.8 1209.7 1213 1213.3 1217.2 1218.4
2010 1223.2 1225.4 1234.6 1256.2 1268.6 1285.3 1289.7 1290.6 1297.9 1300.6 1304.2 1309.1
2011 1320 1330.2 1338.9 1359.0 1373.6 1386.4 1380.6 1403.4 1409.0 1415.0 1424.0 1428.8
2012 1436.1 1440.0 1446.5 1460.4 1480.0 1487.3 1492.1 1496.7 1508.9 1515.4 1530.2 1534.8
2013 1544.3 1546.9 1555.4 1565.6 1570.2 1573.8 1576.7 1580.4 1584.3 1587.9 1593.5 1598.1
2014 1611.1 1618.6 1624.2 1637.2 1641.8 1646.5 1648.4 1653.0 1655.8 1662.4 1667.0 1663.3
2015 1670.7 1664.2 1669.8 1687.5 1690.3 1696.8 1698.7 1701.5 1704.2 1708.9 1709.8 1708.9
2016 1715.4 1714.5 1721.0 1735.9 1737.8 1741.5 1744.3 1747.1 1751.7 1755.2 1758.7 1760.5
2017 1769.2 1772.7 1781.5 1795.5 1799.0 1802.5
Page 5 of 22
Tsamodimo, aged 38, had received the following income during 2017/18:
Rental income of P120,000 from which withholding tax of P12,000 was deducted
at source.
Interest income of P18,000 from an investment account held at Botswana
Building Society. Withholding tax of P1,020 was deducted at source.
Dividend income of P22,000 received from a local company. Withholding tax of
P1,650 was deducted at source.
Tsamodimo has been employed by Kante Ltd since 2012. She received the following
remuneration package in 2017/18:
Salary P162,000 per year
Subsidised meals at the staff canteen amounting to P7,800.
School fees paid for Tsamodimo’s daughter amounting to P60,000
Provided with a house since 1 July 2017. The had a rateable value of P270,000.
Use of a company car since 1 October 2017. Kante paid P228,000 for the car.
Tsamodimo pays for all her private fuel.
Tsamodimo is also a farmer and during the tax year 2017/18, she incurred a farming
loss of P116,000.
Using the standard format below, compute Tsamodimo's taxable income for
2017/18. You should enter a number in each relevant box. If an amount is not
taxable enter a zero or a dash into the relevant box.
Page 6 of 22
Complete all the boxes below
Computation of taxable income for tax year 2017/18:
P
Employment income (W1)
Rental income
Interest income
Dividend income
Allowable farming loss
Total Taxable Income
Working 1 - Employment income P
Salary for the year
Subsidised meals
School fees for daughter
Housing benefit
Car benefit
Chargeable employment income
Page 7 of 22
Tau Ltd, a trading company, prepares accounts to 31 October annually. The draft
accounting profits for the year ended 31 October 2018 are P2,655,000. The following
items have been added or deducted in arriving at the draft accounting profit:
Note P
Depreciation 340,000
Training expenditure 1 122,000
Donation 2 26,000
Consultancy fees 3 68,000
Profit on the disposal of plant 4 102,000
Bank deposit interest receivable 27,000
Notes
(1) The training expenditure was approved by BURS and the amount charged to
the accounts represents the cost incurred.
(2) The donation was made to a government health facility.
(3) Consultancy fees were paid to a local marketing company.
(4) The plant was sold for P220,000 when its carrying amount was P118,000 and
it’s tax written down value P82,000.
In addition, the following items have not yet been included in the accounts:
The managing director was provided with a car since January 2014. The car had
cost P380,000 and is used 20% for private purposes.
The company purchased computer equipment during the year ended 31 October
2018 costing P31,000, which included the preloaded software at a cost P11,000.
Using the standard format below, compute Tau Ltd's taxable total income for
the year ended 31 October 2018. You should enter a number in the relevant
box. If an amount is not taxable or no adjustment is required you must enter a
zero or a dash into the relevant box.
Page 8 of 22
Computation of Tau Ltd's taxable total income fye 31/10/2018:
P
Accounting profit
Depreciation
Training expenditure
Donation
Consultancy fees
Profit on disposal of plant
Balancing charge / (allowance) (W1)
Bank interest
Capital allowances (W2)
Total taxable income
Working 1 - Balancing charge/ allowance on plant P
ITWD brought forward
Sales proceeds
Balancing charge
Working 2 - Computation of Capital allowances Car Computer
P P
Cost
Annual allowances at 25%
Total Annual Allowances
Page 9 of 22
1. Which one of the following is not the purpose of taxation?
a) To redistribute the national wealth
b) To influence the economic activities of the country
c) To provide statics of income earners in the country
d) To finance public sector expenditure
2. Which one of the following administrative functions is not the responsibility of
BURS?
a) Issuing tax returns to taxpayers annually
b) Refunding taxpayers who have overpaid their taxes.
c) Auditing those suspected of evading tax
d) Guiding taxpayers on how to increase their profits
3. The canon of convenience implies that
a) The taxpayer should pay tax when he/she wants to pay
b) Tax should collected when BURS has raised an assessment
c) Tax should be collected as close as possible as at the time that the taxpayer
has earned the income
d) Tax should be collected every month every taxpayers
4. Mbappe received the following income during the tax year 2017/18:
Which one of the following income is taxable?
a) Interest from Botswana Savings Bank
b) Receipt in consideration of an injury resulting an accident at work
c) Interest income from investment in subscription shares of Botswana Building
Society
d) Debenture interest received from a local company
Page 10 of 22
5. Bosisi, a trader, had the following income for the tax year 2017/18:
Trading income P208,000
Chargeable gains P52,000
Bank deposit interest P12,000
What is the maximum contribution that Bosisi can make to an approved pension
fund?
P____________________________
6. Pelaelo had the following income for the tax year 2017/18:
P
Employment income 130,000
Trading loss (240,000)
Rental income 120,000
Farming income 110,000
What is Pelaelo’s taxable income for 2017/18:
P____________________
7. Which one of the following benefit in kind is taxable?
a) Housing benefit for an employee who earns P36,000 per annum
b) Car kilometreage
c) Subsistence allowance
d) Entertainment allowance
8. Thato works for BDCC Ltd. On 1 October 2017, he was provided with a company
house in Tlokweng. The house had cost P485,000 and had a fair market value of
P720,000.
What is the housing benefit in kind for the tax year 2017/18?
P____________________
Page 11 of 22
9. Which of the following situation would not give rise to trading?
a) Disposal of an asset that had a readily available market at a profit.
b) Disposal of asset after it was modified to become saleable prior to disposal.
c) Disposal of an asset which was owned for a very short period of time.
d) Disposal of an asset due to the need to sort out financial problems.
10. Kesiilwe entered in to a 20 year lease and paid P120,000 on 1 October 2012.
The lease agreement required Kesiilwe to construct a warehouse. The
warehouse was completed on 1 October 2017 at a cost of P240,000.
What’s the total allowable expense for Kesiilwe relating to the lease?
P_______________________
11. Which one of the following is not an allowable deduction for tax?
a) Legal expenses incurred in respect of collecting trade debts.
b) Cost of replacing utensils.
c) Interest on loan acquired to buy shares in another company.
d) Increase in provision for specific trade bad debts.
12. Morake, a farmer, completed the construction of 2 farm houses on 1 July 2017 for
his employees. The houses cost P42,000 each.
What are the capital allowances, if any, that are deductible for the tax year ended
30 June 2018 in respect of the two houses?
P_____________________
13. Zuma, a South African resident, won a tender to build a clinic in Gaborone,
commencing on 1 July 2017. On 1 January 2018, Zuma purchased a second
hand truck for business use. The truck cost P190,000.
The capital allowances on the truck for the year ended 30 June 2018:
a) P47,500
b) P23,750
c) P43,750
d) P28,500
Page 12 of 22
The following scenario is relevant for only Questions 14 and 15:
Pule Ltd completed the construction of an industrial building on 1 July 2009 at a cost
of P480,000.
Pule Ltd prepares accounts to 30 June annually.
Pule sold the industrial building on 1 September 2017 for P360,000.
14. The annual allowances in respect of the industrial building for the tax year
2017/18 were:
a) P12,000
b) P132,000
c) P120,000
d) P0
15. The balancing charge or allowance on the disposal of the industrial building was:
a) P96,000 balancing charge
b) P228,000 balancing charge
c) P12,000 balancing allowance
d) P120,000 balancing allowance
16. CCP Ltd purchased a second hand Audi car for P348,000 on 1 January 2015.
On 1 June 2018, CCP Ltd sold the Audi car for P230,000.
CCP Ltd prepares accounts to 31 December annually.
What is the balancing charge or allowance on the disposal of the Audi car?
a) P186,250
b) P230,000
c) P43,750
d) P131,500
Page 13 of 22
17. A farmer, Modikela, incurred the some capital expenditure during the year ended
30 June 2018:
Which of one of the following expenditure below is not 100% deductible?
a) Prevention of soil erosion
b) Construction of dipping tanks
c) Construction of warehouse for storing the grains
d) Erection of fences, yards and crushes
18. Which one of the following is an exempt for capital gains tax?
a) An expensive painting owned by a company
b) An expensive painting owned by an individual
c) Shares owned in a private company
d) Debentures owned in a private company
19. Which one of the following is a not zero rated supply for VAT?
a) Exports
b) Supply of condoms
c) Supply of tswana beans
d) Supply of electricity
20. Gosego commenced business on 1 January 2018 and prepared accounts to 30
September 2018.
Gosego purchased a second hand truck on 1 April 2018 for P210,000.
The capital allowances on the truck for the nine months to 30 September 2018
P________________
Page 14 of 22
21. Rankaga Ltd had the following capital gains and losses for the tax year 2017/18:
P
Chargeable gain on disposal of shares 280,000
Loss on disposal of a commercial building (40,000)
In addition, Rankaga Ltd also had unrelieved capital losses in the previous two
years:
P
2016/17 Capital losses brought forward 120,000
2015/16 Capital losses brought forward 60,000
What is the net chargeable gain for Rankaga for the tax year 2017/18:
a) P240,000
b) P120,000
c) P100,000
d) P60,000
22. Nametso commenced a tax office on the basis that Tebogo, her cousin, would
transfer her business’s accounting and tax affairs to Nametso in 2015. Since
then, Nametso has wholly been responsible for Tebogo’s accounting and tax
affairs. Nametso draws 95% of her income from Tebogo.
Which ONE of the following options correctly identify the types of threat Roger is
experiencing according to the Code of Ethics.
a) Self-interest threat
b) Self-review threat
c) Advocacy threat
d) Familiarity threat
Page 15 of 22
23. Your firm has responded to an advert for consultancy work. Your firm has been
informed that your client, Madiba, has also applied for the same consultancy
work. It is clear that the applications have created a conflict of interest that cannot
reasonably be mitigated.
According to the Code of Ethics, select which of the following would be an
acceptable course of action for your firm?
a) Inform Madiba of the conflict and notify him that your firm is ceasing to act for
him
b) Inform Madiba of the conflict and obtain his written consent to continue to act
for him
c) Inform Madiba of the conflict and continue to act for him
d) Continue to act for Madiba and keep the conflict confidential
24. Select which ONE of the following correctly identifies the period when an
assessment is deemed to be final if there was the tax return was not submitted:
a. Two years after the end of the tax year to which the return relates.
b. Four years after the end of the tax year to which the return relates
c. Eight years after the end of the tax year to which the return relates.
d. Never expires.
25. MBB Ltd and Associates is a management firm resident in Botswana. It is
registered for VAT and provides a range of consultancy services to a wide range
of local customers.
Its sales (or supplies) for the month ended 31 October 2018, excluding VAT,
were made to following customers:
Non-VAT registered customers P170,000
Botswana Government P330,000
VAT registered customers P1,400,000
What is the output chargeable for the month of October 2018?
a) P188,400
b) P228,000
c) P39,600
d) P20,400
Page 16 of 22
26. Galeboe, a VAT registered trader, took a TV from the business for her personal
use. The TV had cost P8,400, including VAT, and a fair market value of P13,440.
What is the output VAT chargeable on the withdrawal of the TV from the
business?
a) P900.00
b) P1,440.00
c) P1,612.80
d) P1,008.00
27. Select which ONE of the following statements about VAT is true.
a) VAT is calculated on the invoice amount less discounts given whether or not
the customer takes the discount.
b) A transfer of goods, on which input VAT was claimed, to an employee is
taxable supply.
c) The tax point for a supply of services occurs when payment is made.
d) A supply of services by an employee to an employer is a taxable supply.
28. Select which ONE of the following statements about VAT is true.
a) A trader who makes only exempt supplies may register for VAT
b) A trader making taxable supplies can only register for VAT once taxable
supplies exceed the VAT registration threshold of P1,000,000 in a period 12
months.
c) VAT return is due for submission by 30th following the end of the tax
period.
d) VAT is charged on zero rated supplies at 0%.
Page 17 of 22
29. SK Ltd is a VAT registered company that only makes standard rated supplies. SK
Ltd is not in the entertainment business.
Select the extent to which the input tax is recoverable on the following VAT-
inclusive costs incurred by SK Ltd.
P18,000 for hotel accommodation paid for the employees sponsored for a
business workshop out of town.
a) Fully recoverable
b) Partially recoverable
c) Not recoverable
Purchase of a refrigerator for P21,200. The refrigerator is used for business
purposes (i.e. for refreshments in the boardroom)
d) Fully recoverable
e) Partially recoverable
f) Not recoverable
30. A VAT trader is required to include some details in a tax invoice. The following
details are included in a tax invoice.
i. the words "tax invoice" in a prominent place;
ii. the name, address, and VAT registration number of the registered person
making the supply;
iii. a description of the goods or services supplied;
iv. the quantity or volume of the goods or services supplied; and
v. the total amount of the tax charged, the consideration for the supply, and the
consideration including tax.
Which of the above are required details are required to be included on a tax
invoice?
a) i. and ii. Only
b) i., ii. and iii. Only
c) i., ii., iii. and iv. Only
d) i., ii.,iii., iv., and v. only
Page 18 of 22
31. Serowe Ltd was compulsorily required to register for VAT by end of October
2018. However it did not register for VAT immediately. In November Serowe Ltd
made a taxable supply of P12,544 to Oodi Ltd without charging VAT.
How much output tax is chargeable and who should pay it?
a) P1,505.28 and payable by Serowe Ltd
b) P1,344.00 and payable by Serowe Ltd
c) P1,505,28 and payable by Oodi Ltd
d) P1,344.00 and payable by Oodi Ltd
32. Lobatse Ltd is a Botswana resident trading company that made various disposals
during the year ended 30 November 2018.
Select how the resulting gains or losses should be treated in the company tax
computation of Lobatse Ltd for the year ended 30 November 2018.
Gain on the disposal of shares in a public company.
a) Chargeable gain
b) Exempt
c) Allowable capital loss
Gain of P86,000 on the sale of an investment property.
d) Chargeable gain
e) Exempt
f) Allowable capital loss
33. Moatlodi and Tshego have been in partnership for many years. The partnership
agreement allocates partners' interest at 5% pa on capital invested. The balance
of any profits is shared in the ratio 2:3.
On 30 June 2018 Moatlodi’s capital account had a balance of P350,000 and
Tshego’s balance was P230,000. For the year ended 30 June 2018 the
partnership had a taxable income of P498,000.
What is Moatlodi’s assessable trading profits for 2017/18.
P_________________
Page 19 of 22
34. Reneilwe purchased a residential property in July 2008. The residential property
cost P400,000 and he paid solicitor’s fees of P10,000 relating to the purchase.
During 2018 he spent P52,000 on a garage for the property and P9,800 on
repairs to the plaster work when there was a flood. Reneilwe anticipates selling
the house within the next few months.
The total allowable expenditure on the disposal of the residential property will be
a) P400,000
b) P410,000
c) P462,000
d) P471,800
35. Walbon Ltd, a manufacturing company which is registered for VAT, purchased a
truck for business use. The breakdown of the cost was as follows:
P
Cost of truck 289,000
VAT at 12% 34,680
Vehicle insurance 14,450
--------------
Total 338,130
---------------
What amount should be included in the capital allowance computation as the
acquisition cost of this truck?
a) P289,000
b) P323,680
c) P303,450
d) P338,130
36. Tumelo purchased the following shares in Tlou Ltd:
January 2010 Purchased 4,500 shares for P9,000
June 2012 Bonus issue of one 2 for 5
Dec 2014 Sold 4,000 shares for P20,000.
The chargeable gain or loss arising on the disposal in December 2014 will be
P___________________
Page 20 of 22
37. For the year ended 30 September 2018, Pula Ltd has taxable farming income of
P1,200,000 excluding the following two capital expenditures incurred during the
year:
• Grain silos at a cost of P250,000
• Toyota car at a cost of P220,000 for the farm manager
What is Pula Ltd’s total taxable income for the year ended 30 September 2018?
a) P1,200,000
b) P950,000
c) P895,000
d) P906,250
38. Serena Ltd disposed of an office lot for P3.5 million on 15 June 2017. Serena Ltd
had acquired the office block on 1 June 2011 for P1,200,000. Legal fees paid on the
acquisition was P34,000.
What is Serena Ltd’s chargeable gain in respect of the disposal of the office block
for capital gains tax purposes?
P________________________
39. ABB Ltd is in the business of landscaping. On 11 November 2018, ABB Ltd
completed landscaping work for a client. The client is not connected to ABB Ltd.
On 15 November 2018, ABB Ltd issued the invoice for the work done. The client
received the invoice on 17 November 2018. ABB Ltd received payment for the
work done on 3 December 2018.
Select which of the following options correctly identifies the tax point of the
supply.
a) 11 November 2018
b) 15 November 2018
c) 17 November 2018
d) 3 December 2018
Page 21 of 22
40. On 27 June 2018, Tumelo sold an immoveable property which resulted in a
chargeable gain of P160,000. This was her only capital disposal.
Additionally, Tumelo has taxable income of P80,000 for the tax year 2017/18.
Tumelo’s total tax liability for the tax year 2017/18 is:
P_____________________
Page 22 of 22
