Form 3 Mathematics
In June of a certain year, an employee's basic salary was Ksh 17000. The employee was also paid a house allowance of Ksh 6000, a commuter allowance
of Ksh 2500 and a medical allowance of Ksh 1 800. In July of that year, the employee's basic salary was raised by 2%.
(a) Calculate the employees:
(i) basic salary for July;
(ii) total taxable income in July of that year.
(b) In that year, the Income Tax Rates were as shown in the table below:
Given that the Monthly Personal Relief was Ksh 1056, calculate the net tax paid by the employee.
Related Questions and Answers on Commercial Arithmetic II
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