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The-tax-free-allowance-for-Tammy-is-K3-300-00-and-he-pays-Income-Tax-at-the-rate-of-30-on-the-balance-of-his-salary-Calculate-the-net-pay-for-Tammy-if-his-montly-salary-is-K5-500-00-




Question Number 105491 by oustmuchiya@gmail.com last updated on 29/Jul/20
The tax free allowance for  Tammy is K3 300.00 and he   pays Income Tax at the rate  of 30% on the balance of his   salary. Calculate the net pay  for Tammy if his montly  salary is K5 500.00.
$${The}\:{tax}\:{free}\:{allowance}\:{for} \\ $$$${Tammy}\:{is}\:\mathrm{K3}\:\mathrm{300}.\mathrm{00}\:{and}\:{he}\: \\ $$$${pays}\:{Income}\:{Tax}\:{at}\:{the}\:{rate} \\ $$$${of}\:\mathrm{30\%}\:{on}\:{the}\:{balance}\:{of}\:{his}\: \\ $$$${salary}.\:{Calculate}\:{the}\:{net}\:{pay} \\ $$$${for}\:{Tammy}\:{if}\:{his}\:{montly} \\ $$$${salary}\:{is}\:\mathrm{K5}\:\mathrm{500}.\mathrm{00}. \\ $$$$ \\ $$
Answered by prakash jain last updated on 30/Jul/20
Salary 5 500  Tax Free allowance 3 300  Taxable Income=5 500−3 300=2 200  Tax=2 200×((30)/(100))=660  Net Pay=5 500−600=4 900
$$\mathrm{Salary}\:\mathrm{5}\:\mathrm{500} \\ $$$$\mathrm{Tax}\:\mathrm{Free}\:\mathrm{allowance}\:\mathrm{3}\:\mathrm{300} \\ $$$$\mathrm{Taxable}\:\mathrm{Income}=\mathrm{5}\:\mathrm{500}−\mathrm{3}\:\mathrm{300}=\mathrm{2}\:\mathrm{200} \\ $$$$\mathrm{Tax}=\mathrm{2}\:\mathrm{200}×\frac{\mathrm{30}}{\mathrm{100}}=\mathrm{660} \\ $$$$\mathrm{Net}\:\mathrm{Pay}=\mathrm{5}\:\mathrm{500}−\mathrm{600}=\mathrm{4}\:\mathrm{900} \\ $$

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