Minimum tax payable by an individual under PITA is:
A0.5% of gross income
B1% of gross incomeCORRECT
C2% of gross income
D5% of chargeable income
ICANTaxationPersonal Income Tax: Reliefs and Computation2024
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
Where the tax computed on chargeable income is lower than 1% of gross income, minimum tax of 1% of gross income applies. Persons earning the national minimum wage or less are exempt.
Want this in Pidgin, Yoruba, Igbo or Hausa? Sign up free →
Practice more Taxation questions
ICAN Taxation has thousands more questions like this — with Worked answers on every one.