TAX3761
Due date :31 JULY 2020
786786
Assignment 2
, PART A
VAT payable by or refundable to Styles (Pty) Ltd for the two-month tax period ended 29 February
2020
DETAIL CALCULATION /REASON R
OUTPUT/(INPUT)
Sales Local-1 213 000*15/115 158 217
To Zambia-export sales -zero rated s11 870 000*0% 0
Right of use Purchase of motor vehicle- was input denied-motor car as
motor vehicle defined in 2018
Given to the managing director-Deemed supply by the
employer in the course of carrying on an enterprise
Vat output-
450 000 *100/115*0.3% (motor car as defined) less lesser of
85/month or actual costs (Employee bears all costs ) (85*2) 262
*15/115 *2(2 month vat period)*100% taxable supplies
Raw materials From South African supplier -560 000*15/100 (84 000)
From American supplier-(181 000 + 9800)*15/115 (24 887)
Second hand raw material-No input tax is paid
possible notional input if requirements are met –
Second hand-yes
From a non vat vendor -yes
Who is a south African resident- yes local non- vendor
Good are located in South Africa-yes
Value of supply on the lesser of open market value 80 000
/consideration 89 000 –
80 000*15/115 (10435)
Claimable to the extent of payment thus the full amount paid.
Banking Bank charges – 500*15/100 75
charges Interest on overdraft- financial services – exempt from Vat 0
Fuel Zero rated 43 000 *0% 0
Salaries No vat input– employment is excluded from the definition of 0
enterprise.
Coffee machine Input denied – entertainment 0
for staff
canteen
Net vat payable 39232
Due date :31 JULY 2020
786786
Assignment 2
, PART A
VAT payable by or refundable to Styles (Pty) Ltd for the two-month tax period ended 29 February
2020
DETAIL CALCULATION /REASON R
OUTPUT/(INPUT)
Sales Local-1 213 000*15/115 158 217
To Zambia-export sales -zero rated s11 870 000*0% 0
Right of use Purchase of motor vehicle- was input denied-motor car as
motor vehicle defined in 2018
Given to the managing director-Deemed supply by the
employer in the course of carrying on an enterprise
Vat output-
450 000 *100/115*0.3% (motor car as defined) less lesser of
85/month or actual costs (Employee bears all costs ) (85*2) 262
*15/115 *2(2 month vat period)*100% taxable supplies
Raw materials From South African supplier -560 000*15/100 (84 000)
From American supplier-(181 000 + 9800)*15/115 (24 887)
Second hand raw material-No input tax is paid
possible notional input if requirements are met –
Second hand-yes
From a non vat vendor -yes
Who is a south African resident- yes local non- vendor
Good are located in South Africa-yes
Value of supply on the lesser of open market value 80 000
/consideration 89 000 –
80 000*15/115 (10435)
Claimable to the extent of payment thus the full amount paid.
Banking Bank charges – 500*15/100 75
charges Interest on overdraft- financial services – exempt from Vat 0
Fuel Zero rated 43 000 *0% 0
Salaries No vat input– employment is excluded from the definition of 0
enterprise.
Coffee machine Input denied – entertainment 0
for staff
canteen
Net vat payable 39232
