Tax Law #3PRACTICE

Zhanat Alimanov, assistant professor

Home assignmentCalculate PIT:

1. Masha buys apartment at 4 mln, sells at 6 mln. after 13 years. How much is her PIT?

2. Masha buys apartment at 11 mln, sells at 16 mln. after 3 months. How much is her PIT?

3. Masha buys shares (51%) at 12 mln, sells at 16 mln. after 2 months. How much is her PIT?

4. Masha buys shares (49%) at 11 mln, sells at 13 mln. after 4 years. How much is her PIT?

5. Masha buys a car at 2 mln, sells at 4 mln. after 3 years. How much is her PIT?

6. Masha buys a car at 1 mln, sells at 2 mln. after 3 months. How much is her PIT?

Step 1: Calculate Total Personal Revenue (TPR) per month* Total

Personal Revenue

Taxed at Source (art. 160)

Not Taxed at Source (art. 177)

Company would pay PIT for Physical Person

Company would not pay PIT for Physical Person, he will

pay PIT himself

*For PIT & Social tax, tax period is one calendar month!

Step 2: How much is Tax of the Company?

Taxed at Source(art. 160 &158)

LABOR Contract CIVIL Contract

Total Revenue(Art. 160)

Total RevenueArt. 158

PIT

Minus Deductions &

Exemptions (Art. 155 & 156)

Minus Pension

& Minimum Salary (art. 166)

Social Tax

Minus Deductions (art. 155)

= Taxable Income * 0.1 (Art. 158)

Minus Pension (75) (Art. 357 (2/6)

PIT

Minus Deductions & Exemptions (Art. 155 (19-26) & 156)

= Taxable Income * 0.1 (Art. 158)

= Taxable Income * 0.11 (art. 358)

Practice tests

Calculate tax burden of the company on Alex’s income: under (1) Labor Law, (2) Civil Law (not IE), & (3) Civil law (IE):

1. Salary is KZT 621,000

2. Salary is KZT 527,000

3. Salary is KZT 7.5 mln

4. Salary is KZT 1.3 mln

5. Salary is KZT 57,000

6. Salary is KZT 317,000

7. Salary is KZT 432,000

8. Salary is KZT 4 mln.

Practice tests

Calculate tax burden of the company on Pasha’sIncome a month: under (1) Labor Law, (2) Civil Law (not IE), & (3) Civil law (IE):

1. Salary is KZT 484,000 a month & free lunch (1,300 per lunch, 9 lunches a month)

2. Salary is KZT 451,000 a month & forgave (простили) the loan for 1.2 mln.

3. Salary is KZT 297,000 a month & vacation to Malaga for 310,000 .

4. Salary is KZT 875,000 a month & free delivery from work to home (cost of the delivery is 900 per day, 21 days).

5. Salary is KZT 163,000 a month & bonus 71,0006. Salary is KZT 619,000 a month & business trip to

Paris (13 nights, hotel 130,000 a night, food 9,700 a day)

7. Salary is KZT 585,000 a month & gave clients 7 dinners (72,000)