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Identify four ways in which an individual or firm could engage in ?tax avoidance

Identify four ways in which an individual or firm could engage in ―tax avoidance

Answers

- Buying assets to enjoy capital allowances instead of leasing.
- Engaging in exporting business where exports are zero rated instead of domestic sales.
- Being granted low interest loan to purchase a house (employer pays fringe benefit tax) instead of being granted a house (taxable benefit).
- Use of debt capital where interest is tax allowable instead of equity capital.
- Contributing to a registered pension fund, which is tax allowable to a limit of Sh.240,000.

Wilfykil answered the question on February 13, 2019 at 08:18

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