Summary TAX3701 VAT solutions

Activity 1

VAT INPUT R 9 255

Input Vat can be claimed when buying from a vendor
61 560 x 1//114 R 7 560

No input vat can however be claimed as the gift is entertainment as
2 defined in the VAT Act.
R285 X 14/114 = R35 R -



3 Input VAT can be claimed on writing off of bad debt
456 x 14/114 = 56 R 56

Input VAT can be claimed on acquisition of second hand goods from
4 a non vendor
8 500 x 14/114 = 1 044 R 1 044

The transport of fare paying passengers by road or rail is an exempt
5 supply
No input VAT R -

Input can be claimed on acquisition of the first lawnmower to the
6 extent of of 2 052 x 14/114 = 252 R 252
Input vat of 2 793 x 14/114 = 343 R 343

No input VAT on acquisition of the motor car. As it is a passenger
7 vehicle as defined



VAT OUTPUT R 2 512

6 Output VAT on sale of existing lawnmower is 1710 x 14/114 R 210



7 Output VAT 71 250 x x 0,3% x 1 x = 2 302 R 2 302



Vat Refund 6 743