Graduate salary Tshs 850,000........Mh bebu tujue kodi yake itakwaje?
Taxable salary= Gross salary minus NSSF (10%)
= Tshs 850,000-(850,000*10%)
=Tshs 850,000-85,000
Hence, taxable salary =Tshs 765,000
Calculations of tax on salary (PAYE):
Taxable salary falls on band 4 to para 1(1) of the first schedule of the income tax act, 2004.
Therefore,
[TABLE="width: 563"]
[TR]
[TD="width: 537, bgcolor: transparent"]Gross salary[/TD]
[TD="class: xl22, width: 79, bgcolor: transparent"] 850,000.00 [/TD]
[TD="width: 135, bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Taxable salary[/TD]
[TD="class: xl24, bgcolor: transparent"] 765,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="bgcolor: transparent"]minus[/TD]
[TD="class: xl22, bgcolor: transparent"] 720,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="bgcolor: transparent"]Excess of Tshs 720,000[/TD]
[TD="class: xl22, bgcolor: transparent"] 45,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]tax (the excess) at 30%[/TD]
[TD="class: xl24, bgcolor: transparent"] 13,500.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Add fixed tax[/TD]
[TD="class: xl24, bgcolor: transparent"] 107,600.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Total tax[/TD]
[TD="class: xl25, bgcolor: transparent"] 121,100.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="bgcolor: transparent"][/TD]
[TD="bgcolor: transparent"][/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Hence net salary=Gross salary minus (NSSF+PAYE)[/TD]
[TD="class: xl25, bgcolor: transparent"][/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl24, bgcolor: transparent"] Net salary is therefore [/TD]
[TD="class: xl25, bgcolor: transparent"] 643,900.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Less expenditure:[/TD]
[TD="bgcolor: transparent"][/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Transport by daladala three buses (return) per day per week per month[/TD]
[TD="class: xl22, bgcolor: transparent"] 108,000.00 [/TD]
[TD="bgcolor: transparent"]No weekend included[/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Food at work per work day per month[/TD]
[TD="class: xl22, bgcolor: transparent"] 102,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]House Rent per month one room without electricity[/TD]
[TD="class: xl22, bgcolor: transparent"] 35,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Mobile phone vouchers per da per month[/TD]
[TD="class: xl22, bgcolor: transparent"] 36,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Food at home per day per month including purchase of charcoal and parafin[/TD]
[TD="class: xl22, bgcolor: transparent"] 96,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]TV King'amuzi cost per month[/TD]
[TD="class: xl22, bgcolor: transparent"] 30,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Water purchases per day per month (not located to availability of tap water)[/TD]
[TD="class: xl22, bgcolor: transparent"] 40,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Environmental cleanness cost per month (kuzoa takataka mtaani)[/TD]
[TD="class: xl22, bgcolor: transparent"] 20,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Electricity contribution per month-LUKU (as you live with other house mates)[/TD]
[TD="class: xl22, bgcolor: transparent"] 15,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Part-Time tuition fee (apportioned monthly) for your son or daughter or relative[/TD]
[TD="class: xl22, bgcolor: transparent"] 75,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Total expenditure[/TD]
[TD="class: xl25, bgcolor: transparent"] 557,000.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[TR]
[TD="class: xl23, bgcolor: transparent"]Savings...........................................................................................................................[/TD]
[TD="class: xl25, bgcolor: transparent"] 86,900.00 [/TD]
[TD="bgcolor: transparent"][/TD]
[/TR]
[/TABLE]