How do you calculate turnover in income tax?
As per Section 145A, GST is required to be included in the valuation of turnover for the limited purpose of determining income chargeable to tax and not for the purpose of determining turnover….Concept & Meaning of Turnover in Tax Audit.
| Cases | Remarks |
|---|---|
| In case of speculative transactions | Aggregate of both positive and negative differences – considered as turnover |
Is tax included in turnover?
“aggregate turnover” means the aggregate value of all taxable supplies (excluding the value of inward supplies on which tax is payable by a person on reverse charge basis), exempt supplies, exports of goods or services or both and inter-State supplies of persons having the same Permanent Account Number, to be computed …
Who is eligible for turnover tax in Kenya?
The tax is payable by resident persons whose gross turnover is more than Ksh 1,000,000 but less than Ksh 50,000,000 in any given year.
What is turnover tax in Kenya?
The rate of turnover tax has been lowered from 3% to 1%. This is applicable to micro, small, and medium enterprises (MSMEs). MSMEs earning below 1 million Kenya shillings (KES) are exempt from turnover tax to cushion them against the negative impact of the COVID-19 pandemic.
What is included in turnover?
Turnover is the total amount of money your business receives as a result of the sales from your goods and/or services over a certain period of time. The calculation doesn’t deduct things like VAT or discounts, which is why it’s also referred to as ‘gross revenue’ or ‘income’.
How do I pay my turnover tax in Kenya?
Eligible taxpayers are advised to log onto iTax, add the TOT obligation, file the monthly returns and make payment. A taxpayer whose turnover is within the above threshold, but chooses not to be taxable under TOT, shall be deemed to have informed the Commissioner of this choice by not registering for TOT.
What does turnover mean in tax?
Is income the same as turnover?
Turnover is the total sales made by a business in a certain period. It’s sometimes referred to as ‘gross revenue’ or ‘income’.
Is turnover the same as income?
Turnover is the total sales made by a business in a certain period. It’s sometimes referred to as ‘gross revenue’ or ‘income’. This is different to profit, which is a measure of earnings.