U121AssignmentDesignTaxation中英个人所得税比较研究(francisatsudy).docVIP

Shanghai International Studies University IMPORTANT: YOUR ASSIGNMENT WILL NOT BE ACCEPTED FOR ASSESSMENT WITHOUT COVERING SHEETS! ASSIGNMENT BRIEF Unit Level: H2 Unit No: 12 Date of issue: Lecturer: Francis Atsudy Unit Title: Taxation Submission Deadline: Assignment No: 01 Title: Individual Income Tax in China UK Scenario 1 in China Wang, a Chinese works for a multinational company in Shanghai as Engineering Manager. He’s been promoted due to hard work and loyalty to the company. He gets a monthly income of 50,000 for the 2012/13 fiscal year. He’s got reimbursable expenses of 18,400 in RMB rent 7,000 yuan; children’s tuition 6,000; transport 5,400 . He purchased state treasury bonds totaling 40, 000 yuan in 2011 and earned an interest of 16,000 yuan in 2012. He’s also got an insurance indemnity of 14, 000 yuan. He consulted you to compute his tax liability for the 2012/13 tax year. As a specialist in doing tax calculations, Wang asked you to use the new tax regulations for the computation. Scenario 2 in Britain Steve, a British has salary from his job at Tesco supermarket in the UK, and some self-employed income from designing greeting cards. He also has a little savings income. He wants to work out his tax bill for 2012-13 fiscal year. He is single and has a daughter, aged seven. Steve has the following income for 2012-2013: Gross salary ￡11,000; tax deducted under PAYE ￡705 National Insurance of ￡452.64 would also been deducted, but is not relevant for this calculation . His employer will give him a form P60 with these figures in May 2013 self-employed profits ￡1,432 after expenses have been deducted net dividends ￡270 i.e. amount actually received ; dividend tax credits ￡30 this is 10% of the gross dividend ￡270+￡30 or 1/9th of the net dividend ￡270 bank interest received ￡800; tax already deducted ￡200 tax 20% on Gross interest ￡1,000 Basic rate 20% on ￡5,957 all income except dividends The relevant rates of tax for 2012/13 are these