Chapter 2 - 1.4 - Chargeable Income

Question 1

How must income be presented in the income tax computation?

Answer 1

All income must be included gross

Question 2

Which types of income are received gross in the Principles of Tax module?

Answer 2

• Trading income
• Property income
• Interest income
• Dividend income

Question 3

How is under PAYE employment income different?

Answer 3

Under PAYE employment income is received net of tax, so the individual will get a credit for the amount of tax already payed

Question 4

How are salaries quoted in exam questions?

Answer 4

As gross, unless stated otherwise