Page 53 - F1 Integrated Workbook STUDENT 2018

Corporrate Incoome Tax and Cappital Tax Computations

Exxampple 7

An entity bougght an asset for $20,000 on 01/02/X0. Thhe asset waas sold forr
$500,000 on 211/11/X9.

Cappital gains are taxed at 30%.

What is the ccapital taxx to be paid d on the ddisposal?

Solution

$
Salees proceedds 50,000
Lesss: Cost (20,000)
––––––
Chaargeable gain 30,000
––––––

Cappital tax = $$30,000 ×× 30% = $99,000

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