a. Latifa made a loss of AED (3,500,000). However, Latifa received the following income and expenditure from its Foreign Permanent Establishments in three foreign jurisdictions, Country A, Country B and Country C: Country A Gross Income 7,500,000 AED) Expenditure B 3,400,000 C 3,700,000 2,000,000 2,550,000 1,750,000 AED) Tax rate 12% 10% 9% b. Latifa did not make an election to not consider income and expenditure from its Foreign Permanent Establishments. Latifa's (3,500,000) loss for 2018 does not include income and expenditure from these foreign jurisdictions. Instruction You are required to compute Latifa's taxable income and tax liability for years 2017 and 2018, showing all workings using excel.

a. Latifa made a loss of AED (3,500,000). However, Latifa received the following income and expenditure from its Foreign Permanent Establishments in three foreign jurisdictions, Country A, Country B and Country C: Country A Gross Income 7,500,000 AED) Expenditure B 3,400,000 C 3,700,000 2,000,000 2,550,000 1,750,000 AED) Tax rate 12% 10% 9% b. Latifa did not make an election to not consider income and expenditure from its Foreign Permanent Establishments. Latifa's (3,500,000) loss for 2018 does not include income and expenditure from these foreign jurisdictions. Instruction You are required to compute Latifa's taxable income and tax liability for years 2017 and 2018, showing all workings using excel.

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter9: Taxation Of International Transactions

Section: Chapter Questions

Problem 21P

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