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Post Info TOPIC: Payroll Exam
smartin


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Payroll Exam
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Hi

I am working my way through the ICB payroll exam and have completed all the computerised questions and I am working on the manual bits.

There is, however, a question that I think I am tackling the wrong way as it seems to me to be a trick question ! (Probably not, I maybe just paronoid).

The question reads:-

"Matt Willis joins the company as a sales manager and is provided with a company car that has an assessable Benefit in Kind (BIK) of £6000, if he has a salary of £40,000 what will be his monthly deductions? (Assume no private pension contributions)."

My question is really two fold :-
1) Surely the company car would be on the P11D at the end of the year
2) Without knowing his tax code/NIC details can I really work this out ?

I am not looking for the answer - (it is an exam after all).
Just some guidance as I am obviously missing something here.

Thanks

clueless.gif

Shirley



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RobH


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I imagine you need to work out his tax code. Assume he receives normal personal allowance of 6475, reduce by 6000 to give a tax code of 47 and calculate from there. I think!

Rob

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Rob
www.accounts-solutions.com
smartin


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Hi Rob

Thanks for that - in my confusion I hadn't thought logically like that !

regards

Shirley

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Marky65


Guru

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Hi Shirley

I remember I had this exam and had to make some assumptions. I put these assumptions down on the answer paper to show them how I got them how I got to the answer, it must have worked because I got 98 or 99%

Good luck

Regards

Mark

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M & G Associates

Website www.mgassociates-accountancy-services.co.uk/

Accountancy Services Plymouth, Bookkeeping Payroll Sage Training

 
smartin


Veteran Member

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Posts: 67
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Hi Mark

I too am making assumptions and just typing it all up and have listed them out.
Thanks for the tip.

Regards

Shirley

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