TAX3701
Assignment 1 QUIZ Semester 2 2025
Unique Number:
Due Date: 28 August 2025
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, 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
Unique Number:
Due Date: 28 August 2025
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, 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
