ACCA paper F6 UK Basic Income Tax computation | Some more practice questions

Practice question 2

Jeremy has trading income of in 2009/10. In addition he received bank interest of £800 and dividend income of £1800

Required

Calculate his income tax payable for 2009/10.

Practice question 3

Tony has earnings from his employment of £37000, from which PAYE of £6105 was deducted.

He owns two let properties showing a total profit for the year of £3000.

His investment income comprises of dividends from UK companies of £3600 and building society interest of £800.

Required

Calculate his income tax payable for 2009/10.

Practice question 4

John and Fiona have shared a house in Wiesteria avenue since the date of their marriage. John and Fiona were married in 2004. In 2009/10 they had the following income.

	John £	Fiona £
Salary (gross) Tax under PAYE Building society interest received Bank interest received Bank interest from an ISA	39224 6380 2000 320 -----	4650 Nil 1440 ----- 200

Required

Compute income tax payable or repayable to John and Fiona in respect of 2009/10.

ACCA paper F6 UK Basic Income Tax computation | Special rates example 1

Kate a single person, has the following income, outgoing and allowances for the year ended 5 April 2010.

	£
Salary Taxed investment income: Bank interest (net)                                                  Building society interest (net) Rents from UK unfurnished lettings Personal Allowance Allowable interest payments Dividend received	38930 3200 4800 1890 6475 2160 900

Required:

Calculate the income tax payable for 2009/10.

Solution

Kate

Income tax computation 2009/10

	Total Income £	Other Income £	Savings Income £	Dividend Income £
Employment income Interest £(4000+6000) Property income UK dividend Total income Less: Interest payment Net income Less: Personal Allowance Taxable income	38930 10000 1890 1000 51820 (2160) 49660 (6475) 43185	38930 1890 40820 (2160) 38660 (6475) 32185	10000 10000 10000 10000	1000 1000 1000 1000

Income tax		£
On other income On savings income at basic rate                                   At higher rate On dividend income Income tax liability Less: Tax credit on dividend           Tax suffered on interest (800+1200) Income tax payable	32185 @ 20% 5215 @ 20% 4785 @ 40% 1000 @ 32.5%	6437 1043 1914 325 9719 (100) (2000) 7619