TAX3701
Assignment 1 QUIZ Semester 2 2025
Detailed Solutions, References & Explanations
Unique number: 770971
Due Date: 28 August 2025
Terms of use
By making use of this document you agree to:
Use this document as a guide for learning, comparison and reference purpose,
Terms of use
Not to duplicate, reproduce and/or misrepresent the contents of this document as your own work,
By making use of this document you agree to:
Use this document
Fully accept the consequences
solely as a guide forshould you plagiarise
learning, reference,or and
misuse this document.
comparison purposes,
Ensure originality of your own work, and fully accept the consequences should you plagiarise or misuse this document.
Comply with all relevant standards, guidelines, regulations, and legislation governing academic and written work.
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is" without any express or
implied representations or warranties. The author accepts no responsibility or liability for any actions taken based on the
information contained within this document. This document is intended solely for comparison, research, and reference purposes.
Reproduction, resale, or transmission of any part of this document, in any form or by any means, is strictly prohibited.
, TAX3701-25-S2 Welcome Message Assessment 1
QUIZ
Started on Thursday, 14 August 2025, 10:06 AM
State Finished
Completed on Thursday, 14 August 2025, 11:28 AM
Time taken 1 hour 21 mins
Marks 50.00/55.00
Grade 45.45 out of 50.00 (90.91%)
Question 1
Correct
Mark 1.00 out of 1.00
What type of expenditure is specifically disallowed under section 23(g)?
A. Entertainment
B. VAT
C.
Not incurred in production of income
Section 23(g) targets expenses not linked to earning income.
D. Staff bonuses
E. Insurance
Your answer is correct.
Section 23(g) targets expenses not linked to earning income.
The correct answer is:
Not incurred in production of income
Section 23(g) targets expenses not linked to earning income.
,Question 2
Correct
Mark 1.00 out of 1.00
Which of the following is an exempt supply?
A. Sale of books
B. Lease of commercial buildings
C. Supply of water
D. Financial services Financial services are exempt under section 12(a).
E. Import of machinery
Your answer is correct.
Financial services are exempt under section 12(a).
The correct answer is:
Financial services
Question 3
Incorrect
Mark 0.00 out of 1.00
What is the output VAT on a sale of R230,000 (incl. VAT)?
A. R30 000
B. R29 565
C. R34 500
D. R31 000
E. R25 000
Your answer is incorrect.
Output VAT = R230,000 × 15/115= R30 000
The correct answer is:
R30 000
, Question 4
Correct
Mark 1.00 out of 1.00
What type of VAT invoice must a vendor issue for a sale over R5,000?
A. Pro forma invoice
B. Quotation
C. Taxation A proper tax invoice is required for VAT input claims.
D. Debit note
E. Credit note
Your answer is correct.
A proper tax invoice is required for VAT input claims.
The correct answer is:
Taxation
Question 5
Correct
Mark 1.00 out of 1.00
Which of the following is excluded from turnover?
A. Sale of goods
B. Commission income
C. Interest income Investment income is excluded from turnover (Sixth Schedule).
D. Cash services
E. Trading stock sales
Your answer is correct.
Investment income is excluded from turnover (Sixth Schedule).
The correct answer is:
Interest income
Assignment 1 QUIZ Semester 2 2025
Detailed Solutions, References & Explanations
Unique number: 770971
Due Date: 28 August 2025
Terms of use
By making use of this document you agree to:
Use this document as a guide for learning, comparison and reference purpose,
Terms of use
Not to duplicate, reproduce and/or misrepresent the contents of this document as your own work,
By making use of this document you agree to:
Use this document
Fully accept the consequences
solely as a guide forshould you plagiarise
learning, reference,or and
misuse this document.
comparison purposes,
Ensure originality of your own work, and fully accept the consequences should you plagiarise or misuse this document.
Comply with all relevant standards, guidelines, regulations, and legislation governing academic and written work.
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is" without any express or
implied representations or warranties. The author accepts no responsibility or liability for any actions taken based on the
information contained within this document. This document is intended solely for comparison, research, and reference purposes.
Reproduction, resale, or transmission of any part of this document, in any form or by any means, is strictly prohibited.
, TAX3701-25-S2 Welcome Message Assessment 1
QUIZ
Started on Thursday, 14 August 2025, 10:06 AM
State Finished
Completed on Thursday, 14 August 2025, 11:28 AM
Time taken 1 hour 21 mins
Marks 50.00/55.00
Grade 45.45 out of 50.00 (90.91%)
Question 1
Correct
Mark 1.00 out of 1.00
What type of expenditure is specifically disallowed under section 23(g)?
A. Entertainment
B. VAT
C.
Not incurred in production of income
Section 23(g) targets expenses not linked to earning income.
D. Staff bonuses
E. Insurance
Your answer is correct.
Section 23(g) targets expenses not linked to earning income.
The correct answer is:
Not incurred in production of income
Section 23(g) targets expenses not linked to earning income.
,Question 2
Correct
Mark 1.00 out of 1.00
Which of the following is an exempt supply?
A. Sale of books
B. Lease of commercial buildings
C. Supply of water
D. Financial services Financial services are exempt under section 12(a).
E. Import of machinery
Your answer is correct.
Financial services are exempt under section 12(a).
The correct answer is:
Financial services
Question 3
Incorrect
Mark 0.00 out of 1.00
What is the output VAT on a sale of R230,000 (incl. VAT)?
A. R30 000
B. R29 565
C. R34 500
D. R31 000
E. R25 000
Your answer is incorrect.
Output VAT = R230,000 × 15/115= R30 000
The correct answer is:
R30 000
, Question 4
Correct
Mark 1.00 out of 1.00
What type of VAT invoice must a vendor issue for a sale over R5,000?
A. Pro forma invoice
B. Quotation
C. Taxation A proper tax invoice is required for VAT input claims.
D. Debit note
E. Credit note
Your answer is correct.
A proper tax invoice is required for VAT input claims.
The correct answer is:
Taxation
Question 5
Correct
Mark 1.00 out of 1.00
Which of the following is excluded from turnover?
A. Sale of goods
B. Commission income
C. Interest income Investment income is excluded from turnover (Sixth Schedule).
D. Cash services
E. Trading stock sales
Your answer is correct.
Investment income is excluded from turnover (Sixth Schedule).
The correct answer is:
Interest income
