Compute the capital transfer tax that would be payable assuming Mr. Monametsi is deceased now...

80.2K

Verified Solution

Question

Accounting

Compute the capital transfer tax that would be payable assuming Mr. Monametsi is deceased now
Details of Mr. Monametsis assets and liabilities were as follows:
(i) The family house which originally cost P1,110,000 in March 2006 and now has a market value of P2,150,000. The house was acquired through a mortgage. The balance outstanding on the mortgage was P760,000. The family house was bequeathed to Blessing his wife.
(ii) A VW Touareg vehicle which cost P780,000 in 2016. The market vehicle of the vehicle P444,000. The car was bought through a Stanbic Bank loan and the outstanding loan was P180,600. The motor vehicle was bequeathed to Kagiso.
(iii) Personal possessions and chattels with a total market value of P165,000 was bequeathed to Blessing.
(iv) Monametsi has a life assurance policy of P1,122,000. The proceeds from the policy is to be shared equally between Bakang and Kagiso.
(v) A joint bank account with Blessing his wife of P400,000. His share of the bank account is bequeathed to Bakang.
(vi) A house in Kumakwane which has a market value of P1,440,000. The house will be left to Bakang and Kagiso jointly.
(vii) A house in Phase 4 originally cost P1,152,000 in August 2008 and now has a market value of P1,680,000. The house was acquired through a mortgage. The balance outstanding on the mortgage was P672,000. The house was bequeathed to Blessing,
(iix) A house in France valued at P1,650,000 to Noel his step son domiciled in France.
(ix) A Nissan Navara with a market value of P396,000, was bequeathed to Blessing.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students