J14

1 st : 01 - 10 000 20
Next: 10 001 – 50 000 15
Rest: 50 001 – and above 10
(a) Calculate the:
(i) taxable income for Omoja and Mbili,
(ii) income tax for Omoja and Mbili,
(b) Express the total income tax for each man as percentage of their
respective taxable incomes.
2. In a certain country, tax is levied on income per month as follows:
Income per month (sh)
Tax Rate(%)
0 – 50 000 10
50 001 – 100 000 15
100 001 – 150 000 20
150 001 – 200 000 30
200 001 - 250 000 35
250 001 – 300 000 40
300 001 – 350 000 45
350 001 – and above 55
Tom’s gross monthly income is sh. 766 000.
The allowances given to him are:
Housing allowance:
Marriage allowance:
Medical allowances:
Transport allowances:
Insurance premium:
sh. 10 000 pe month
sh. 919 200 per annum.
sh. 50 000 per month
sh. 120 000 per annum
sh. 72 000 per annum
Tom is married with 5 children: 2 above 10 years but below 18 years, 1 is below 10
years while 2 are above 18 years. The rate per child are as below:
Age
rate:
Below 10 years sh. 3 000
Between 10 and 18 years sh. 4 000
Above 18 years sh. 5 000
©Kyebambe Girls’ SS 2015 15