JAMB - Mathematics (2015 - No. 10)

A man with an annual salary of N2000, has allowances of N600. If Income Tax is 5%. How much income tax expenses does he pay each year?
15
50
70
25

Explanation

His annual salary = N2000

His allowances = N600

So his taxable income = Annual salary − allowance

= N2000 − N600

= N1400

He pay at 5%

Then, his allowance income tax 5/100 × 1400 = N70

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