Discuss, with relevant examples, the different levels of income and expenditure that a typical UK individual is likely to ex

	Discuss, with relevant examples, the different levels of income and expenditure that a typical UK individual is likely to ex Essay example
Masters
Essay
Finance & Accounting
Pages 8 (2008 words)
Download 0
Different levels of income and expenditure Table of Contents Introduction 4 Main body 4 Income from salaries 4 Income from house property 5 Income from business or profession 7 Income from capital gains 7 Income from other sources 7 Household Consumption Expenditure 8 Private Investment Expenditure 9 Conclusion 10 References 12 Introduction The word income does not have any specific definition…

Introduction

As per the Income Tax Act, 1961, the taxability of income of a person depends on the chargeability of the following heads of income: Income from salaries (sections 15 to 17). Income from house property (sections 22 to 27). Profits and gains of business or profession (sections 28 to 44D). Capital gains (sections 45 to 55A). Income from other sources (sections 56 to 59). So far as the heads of expenditure of an individual is concerned, the aggregate expenditure of a UK individual can be categorised into the following broad heads: Household Consumption Expenditure and Private Investment Expenditure. Main body Income from salaries Salary as per section 17(1) includes wages or salary, annuity, pension, gratuity, fees and commission, perquisites, profit in lieu of or in addition to wages or salary, advance of salary, any payment received by an employee in respect of the period of leave not availed by him, taxable portion of annual accretion, taxable portion of transferred balance, contribution made by Central Government in prevoius year. ...
Download paper
Not exactly what you need?

Related papers

Event Study for Efficient Market Hypothesis- Ex dividend Data
Anomalies in the expression of the standard, tax centric theory of stock performances have been noted and described. While a tax centric hypothesis has explanatory power, this study examines evidence that there are additional forces of corporate governance, ownership concentration, and market capitalization that can adjust the performance of dividends independent of taxation. This study is a…
Discuss, with reference to relevant academic literature, how a tax system might be designed to combat avoidance and evasion.
Tax evasion and avoidance have become common and is raising concerns over the effective funding of government administrative functions. It is therefore imperative that the government develop strategies that would help it reduce the cases of tax evasion and avoidance as this is eating into the country’s financial policies. People who deliberately avoid tax by hiding their wealth and income tend…
Discuss, with relevant examples, the different levels of income and expenditure that a typical UK individual is likely to ex
Its quality of education is high and the literacy levels are among the highest in the world. Its learning institutions, especially the universities, rank highly in global ratings. The income levels in the United Kingdom are above the global average (Cordner, Das, and Cordner, 2010, p. 76). A typical UK citizen is thus destined to experience many levels of income and expenditures due to the…
Capital Expenditure and Depreciation
Acquiring fixed assets like building, land, plant and machinery, motor vehicle and furniture fittings are regarded as the capital expenditure. The assets are not to be sold for making profit but that assets should be retained in the business. Capex generally yields gains over a long period of time (Banerjee, 2010). Capex on a financial statement is important as the investors are interested in the…
individual income tax. "USA Indiana state laws "
The taxpayer participates in racecar driving on mini circuit. The car is hers and she is her own mechanic. She lost money during the first two competition years. Taxpayers often receive gifts support the products of racing. The question is whether how the deductions will apply to the swimming pool, the gift, the office, the losses she experienced in racing. It also extends to the treatment that…
Central Bank for GCC
International financial crisis in the recent years calls for monetary integration and regional cooperation of the countries for efficiently dealing with the crises and protecting the interests of the member countries. The monetary policies of a central bank plays pivotal role in regulating interest rates and inflation in the countries with a view to ensure economic growth. The monetary policies of…
The EU and the USA have different approaches to the data protection. Which, if either, is likely to be more sustainable in the f
Personal data is information about an individual who can either be identified or identifiable (Maria, 2013). Armed with this information these organizations can gain comparative advantage over their competitors as they can use this information to make key decisions on consumer focus. However, of late data breaches have increased and many individuals are complaining that their personal data is…