Gibson has paid GBP 62 as interest towards a loan taken for investment in a partnership firm where he is a partner. He received GBP 9250 as interest on bank deposits and also employment income of 12655. During the year he also suffered a PAYE amounting to GBP 40. Calculate the total tax payable a. NIL b. None of the given options c. 687.2 d. 647.2

Gibson has paid GBP 62 as interest towards a loan taken for investment in a partnership firm where he is a partner. He received GBP 9250 as interest on bank deposits and also employment income of 12655. During the year he also suffered a PAYE amounting to GBP 40. Calculate the total tax payable a. NIL b. None of the given options c. 687.2 d. 647.2

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter12: Alternative Minimum Tax

Section: Chapter Questions

Problem 27P: Arthur Wesson, an unmarried individual who is age 68, reports taxable income of 510,000 in 2019. He...

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Arthur Wesson, an unmarried individual who is age 68, reports taxable income of 510,000 in 2019. He records positive AMT adjustments of 80,000 and preferences of 35,000. Arthur itemizes his deductions, and his regular tax liability in 2019 is 153,694. a. What is Arthurs AMT? b. What is the total amount of Arthurs tax liability? c. Draft a letter to Arthur explaining why he must pay more than the regular income tax liability. Arthurs address is 100 Colonels Way, Conway, SC 29526.