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Income rates for income earned was charged as follows Income in Kshs. Per month Rates in Kshs. Per Ksh.20 1 - 8400 2 8401 - 18000 3 18001 - 30,000 4 30,001 - 36,000 5 36,001 - 48,000 6 48,001 and above 7 An employee earns a monthly salary of...

Income rates for income earned was charged as follows
Income in Kshs. Per month Rates in Kshs. Per Ksh.20
1 - 8400 2
8401 - 18000 3
18001 - 30,000 4
30,001 - 36,000 5
36,001 - 48,000 6
48,001 and above 7
An employee earns a monthly salary of Ksh.19,200 and is housed by the institution and pays a nominal rent of Kshs.2000 per month. His house allowance is Ksh. 12,000 per month, transport allowance Ksh.1,300 and medical allowance, Ksh.2,300.He is entitled to a family relief of Ksh.1240 per month. Determine
a)i)His taxable income per month.
ii)Net tax
b)In addition the following deductions were made;NHIF Ksh.230,service charge kshs.100,loan repayment kshs.4000,co-operative share kshs.1200.Calculate his net salary per month

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Kavungya
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Kavungya answered the question on September 21, 2019 at 09:12

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