Question

The man’s taxable income is Rs. 14,280/- . The state tax instruction tell him to pay 2%
on the first Rs. 3000/- .of his taxable income, 3% on each of the second and third Rs. 3000
and 4% on the remainder., what is the total amount of income tax that he must pay:

Answer 1

1st

3000×0.02= 60

2nd

3000×0.03=90

3rd

3000×0.03=90

Remaining:

14280-3000+3000+3000=5280

Now

Tax on remainder is 4 %

So

5280 ×0.04=211.2

Now total amount of income tax

60+90+90+211.2

=451.2