assignment

Instructions – PLEASE READ THEM CAREFULLY

· The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.

· Assignments submitted through email will not be accepted.

· Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page.

· Students must mention question number clearly in their answer.

· Late submission will NOT be accepted.

· Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.

· All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).

· Submissions without this cover page will NOT be accepted.

Assignment Question(s): (5.0 Marks)

Q1. Depreciation rates used in financial accounting shall not be used in tax accounting whereas tax law gives tax credits to tax payers by using accelerated depreciation rates for some groups of assets (1.5 Marks).

.

Required: State depreciation rates under the Article 17 of the Saudi Income.

Answer:

Q2. The paragraph (e) in the article 17 of the Saudi income tax explained how depreciation expense is calculated for any group of assets. (2.0 Marks).

Required:

a. Discuss In Detail This Article

b. Give a numerical example explaining the applicability of the paragraph (e) in the article 17 of the Saudi income tax.

Answer:

(Answer in your own words DO NOT copy from the Law).

Q3. Resident Bank fully owned by Sweden investors has the following selected items drawn from its accounting books (Amounts in Saudi Riyal) (1.5 Marks).

Required: check mark items in the table below either deductible or non-deductible under income tax law in the kingdom.

Answer:

3