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- 5 Marks
Question
Ann sold a warehouse on 13 June 2022 for GH¢640,000. The warehouse was purchased on 14 December 2020 for GH¢328,000 for investment purposes. Ann incurred the following:
| Description | Amount (GH¢) |
|---|---|
| Legal fees | 10,000 |
| Accountant’s fees | 15,000 |
| Transfer tax | 1,000 |
Required:
Calculate the tax payable.
Answer
| Description | Amount (GH¢) |
|---|
| Consideration Received | 640,000 |
| Less: |
| Purchase Cost | (328,000) |
| Legal Fees | (10,000) |
| Accountant’s Fees | (15,000) |
| Transfer Tax | (1,000) |
| Gain on Asset | 286,000 |
| Tax thereon @ 15% | 42,900 |
- Tags: Asset Disposal, Capital Gains, Tax Calculation, Warehouse Sale
- Level: Level 2
- Topic: Taxation of Capital Gains
- Series: JULY 2023
- Uploader: Kwame Aikins