Identify which taxes apply to the following situations and state whether the tax is direct or indirect (a) A sole trader earns £100,000 profit in a year (b) A company has profit of £250,000 in a year and employs 30 employees (c) An individual sells an antique table for £100,000 which cost £40,000 eight years ago (d) A business buys raw materials from a supplier (e) A company sells a factory for £750,000 bought for £250,000 three years ago (f) An individual dies and bequeaths his estate of £1,000,000 to his children

SWFT Comprehensive Vol 2020
43rd Edition
ISBN:9780357391723
Author:Maloney
Publisher:Maloney
Chapter12: Tax Credits And Payments
Section: Chapter Questions
Problem 28P
icon
Related questions
Question
Identify which taxes apply to the following situations and state whether the tax is direct or indirect (a) A sole trader earns £100,000 profit in a year (b) A company has profit of £250,000 in a year and employs 30 employees (c) An individual sells an antique table for £100,000 which cost £40,000 eight years ago (d) A business buys raw materials from a supplier (e) A company sells a factory for £750,000 bought for £250,000 three years ago (f) An individual dies and bequeaths his estate of £1,000,000 to his children
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Capital Gains and Losses
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
SWFT Comprehensive Vol 2020
SWFT Comprehensive Vol 2020
Accounting
ISBN:
9780357391723
Author:
Maloney
Publisher:
Cengage
SWFT Comprehensive Volume 2019
SWFT Comprehensive Volume 2019
Accounting
ISBN:
9780357233306
Author:
Maloney
Publisher:
Cengage
EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
SWFT Corp Partner Estates Trusts
SWFT Corp Partner Estates Trusts
Accounting
ISBN:
9780357161548
Author:
Raabe
Publisher:
Cengage
CONCEPTS IN FED.TAX., 2020-W/ACCESS
CONCEPTS IN FED.TAX., 2020-W/ACCESS
Accounting
ISBN:
9780357110362
Author:
Murphy
Publisher:
CENGAGE L
Income Tax Fundamentals 2020
Income Tax Fundamentals 2020
Accounting
ISBN:
9780357391129
Author:
WHITTENBURG
Publisher:
Cengage