Taxation 1 (ACCM3203)
Faculty of Economics and Management Science (FEMS)
Semester: Second Semester
Level: 300
Year: 2017
Question one; 05marks
Distinguish between the following terms as used in taxation
a) A tax and a price
b) The per capita and the proportional tax
c) The simplified and actual taxation systems
d) A legal taxpayer and an actual taxpayer
e) Tax evasion and tax avoidance
f) Impartiality and convenience as principles of taxation
Question two; 05marks
A business realizes an annual turnover of 15,650,500FCFA.
Required; determine the annual income tax liability and the tax balance outstanding at year
end under the assumption that the taxable profit is 20,340,500 FCFA.
Question three; 05 marks
A business realizes an annual turnover of 65,750,750FCFA.
Required; determine the annual income tax liability and the tax balance outstanding at year
end under the assumption that the taxable profit is 20,340,500FCFA
Question four:
The following figures in FCFA are extracted from the books of a trading business registered
for VAT for the year 2017 under the actual earning system:
month Purchase (VAT incl.) Sales (VAT incl.)
January 3,900,000 5,050,000
February 3,000,000 4,100,000
March 4,900,000 3,770,000
April 5,090,000 7,357,000
All the supplies are taxable supplies
Work required:
1. Using schedules compute the VAT due or the VAT credit for each period and present the VAT
declaration and payment accordingly (10marks)
2. Record the transactions. (5marks)
THE UNIVERSITY OF BAMENDA
FACULTY OF ECONOMICS AND MANAGEMENT SCIENCES
2
nd
Semester C.A Course: Taxation
Credit Value:
Course Lecturers:
Time: Course Status: Date:
Venue: Instruction:
www.schoolfaqs.net
