Lesedi is 25 years old. She is a single mother of two. Lesedi and her two children belong to a medical
aid. During the current year of assessment her employer contributed R22 222 to her medical aid
scheme and R33 333 to her retirement annuity fund on behalf. Lesedi made equal contributions to her
medical aid scheme and to her retirement annuity fund. YOU ARE REQUIRED to calculate the taxable
benefit that should be included in Lesedi's gross income for the current year of assessment.



Answer :

Step-by-step explanation:

To calculate the taxable benefit that should be included in Lesedi's gross income for the current year of assessment, we need to consider the contributions made by her employer to her medical aid scheme and retirement annuity fund.

Given information:

- Lesedi is 25 years old and a single mother of two.

- Lesedi and her two children belong to a medical aid.

- Lesedi's employer contributed R22,222 to her medical aid scheme and R33,333 to her retirement annuity fund on her behalf.

- Lesedi made equal contributions to her medical aid scheme and retirement annuity fund.

Step 1: Calculate the taxable benefit for the employer's contribution to the medical aid scheme.

Employer's contribution to medical aid scheme = R22,222

Lesedi's contribution to medical aid scheme = R22,222 / 2 = R11,111

Taxable benefit for medical aid scheme = Employer's contribution - Lesedi's contribution

Taxable benefit for medical aid scheme = R22,222 - R11,111 = R11,111

Step 2: Calculate the taxable benefit for the employer's contribution to the retirement annuity fund.

Employer's contribution to retirement annuity fund = R33,333

Lesedi's contribution to retirement annuity fund = R33,333 / 2 = R16,667

Taxable benefit for retirement annuity fund = Employer's contribution - Lesedi's contribution

Taxable benefit for retirement annuity fund = R33,333 - R16,667 = R16,666

Step 3: Calculate the total taxable benefit to be included in Lesedi's gross income.

Total taxable benefit = Taxable benefit for medical aid scheme + Taxable benefit for retirement annuity fund

Total taxable benefit = R11,111 + R16,666 = R27,777

Therefore, the taxable benefit that should be included in Lesedi's gross income for the current year of assessment is R27,777.