Mr. Kobe is a civil servant who earns a monthly salary of Ksh.21200. He has a house allowance of Ksh. 12000 per month, other taxable allowances are commuter Ksh. 1100, medical allowance Ksh.2000. He is entitled to a personal relief of Ksh. 1240 per month. Using the income rates below, solve the questions that follow. Income in Ksh. per month 1-8,400 8401-18,000 18001-30,000 30001-36,000 36001-48,000 Above 48,000 Rates in Ksh per sh 20- 2 40 3 60 4.80 5 100 6120 7140 Determine; i) His monthly taxable income. monthly taxable= Basic salary + Allowances 21200+15100 =38300 ii) Net tax (PAYEE) (2 marks) (5 marks)
