- 20 Marks
ATP – Feb 2020 – L2 – Q1 – Indirect Taxes
Compute GET Fund, NHIL, and VAT payable for Nyameaye Limited for January 2019.
Question
a) Nyameaye Limited is a company registered under the Companies Act 1963, Act 179 and has been in consultancy business over the years. The company has been registered to operate as a Value Added Tax (VAT) registered company, since it deals in both taxable and non-taxable supplies.
The company’s operations for January, 2019 were as follows:
| GH¢ | |
|---|---|
| Total value of taxable supplies invoiced (VAT inclusive) | 4,353,372 |
| Input Tax on Taxable Supplies | 460,317 |
| Value of Exempt Supplies | 360,000 |
| Purchase of double cabin Toyota Pick Up (VAT exclusive) | 240,000 |
| Value of relief Supplies | 108,400 |
Your review of the invoices showed that VAT and other levies on the Toyota pick-up and hotel bills of GH¢1,880.00 were included in the Input Tax on Taxable supplies.
Required:
Compute the GET Fund Levy, National Health Insurance Levy (NHIL) and VAT payable for the month of January, 2019.
b)i. State and explain the treatments of transactions and filing of returns in respect of the following legislations: Value Added Tax Act, (Act 870); GET Fund levy Act, 2000 (Act 581) and National Health Insurance Levy Act, 2003 (Act 650).
ii. Concisely, outline how taxes are computed and filed under the following Amendment Acts: VAT (Amendment) Acts, 2018 (Act 970), and National Health Insurance Levy (Amendment) Act, 2018 (Act 971); GET Fund (Amendment) Act, 2018 (Act 972).
Find Related Questions by Tags, levels, etc.
- Tags: Amendments, GET Fund, NHIL, Tax Returns, VAT Act
- Level: Level 2
- Topic: Indirect Taxes
- Series: FEB 2020
