Cross-Border Transactions

AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

Question

Pategi and Abu are brothers based in Hackettstown, New Jersey, USA. In 2009, they, along with ten other African-Americans, incorporated a telecommunications company named Pategi Telecommunications Limited. The company, headquartered in the USA, has a representative office in Share, Kwara State, Nigeria. In the year ended December 31, 2014, the following transactions were extracted from the company’s records:

Number of Minutes of Telecommunication Transactions:
- U.S. to other parts of the World: 1,705,000 minutes
- U.S. to Nigeria: 374,000 minutes
- Nigeria to U.S.: 426,250 minutes
- Nigeria to Canada: 550,000 minutes
- U.S. to Canada through Nigeria: 794,750 minutes
  Total Minutes: 3,850,000 minutes
Worldwide Expenses Incurred (Naira):
- Refurbishment: N7,150,000
- Rent: N1,100,000
- Depreciation: N25,991,563
- Salaries and Wages: N4,065,188
- Other Disallowable Expenses: N9,658,000
- Administrative Expenses: N4,820,750
  Total Expenses: N52,785,501
Telecommunication Charges:
- Average charge rate per minute: $0.50
- Applicable exchange rate: N198 to $1.00

Required:
Advise the company on the total tax liabilities for the relevant year of assessment. (Total 15 Marks)

Answer

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Tags: Cross-Border Transactions, Exchange Rate, International Taxation, Revenue, Tax Assessment, Tax computation, Tax liabilities, Telecommunications
Level: Level 3

Topic: Tax Administration and Dispute Resolution
Series: NOV 2017

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

Question

Dr. Aminu recently transferred the sum of US$11,000 to his account in Business Bank Plc, Lagos, from his bank in the United States. He also informed his stockbroker of his intention to transfer his shares in some Nigerian companies listed on the New York Stock Exchange to his C.S.C.S. account with the stockbroker in Nigeria. The shares are valued at US$20,000.

You are required to:

Explain the reporting duty of Business Bank Plc and the stockbroker.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Bank Transfers, Cross-Border Transactions, Nigerian Law, Reporting Duty
Level: Level 1

Topic: Law of Trusts
Series: MAY 2013

AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

Question

Number of Minutes of Telecommunication Transactions:
- U.S. to other parts of the World: 1,705,000 minutes
- U.S. to Nigeria: 374,000 minutes
- Nigeria to U.S.: 426,250 minutes
- Nigeria to Canada: 550,000 minutes
- U.S. to Canada through Nigeria: 794,750 minutes
  Total Minutes: 3,850,000 minutes
Worldwide Expenses Incurred (Naira):
- Refurbishment: N7,150,000
- Rent: N1,100,000
- Depreciation: N25,991,563
- Salaries and Wages: N4,065,188
- Other Disallowable Expenses: N9,658,000
- Administrative Expenses: N4,820,750
  Total Expenses: N52,785,501
Telecommunication Charges:
- Average charge rate per minute: $0.50
- Applicable exchange rate: N198 to $1.00

Required:
Advise the company on the total tax liabilities for the relevant year of assessment. (Total 15 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Cross-Border Transactions, Exchange Rate, International Taxation, Revenue, Tax Assessment, Tax computation, Tax liabilities, Telecommunications
Level: Level 3

Topic: Tax Administration and Dispute Resolution
Series: NOV 2017

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

Question

You are required to:

Explain the reporting duty of Business Bank Plc and the stockbroker.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Bank Transfers, Cross-Border Transactions, Nigerian Law, Reporting Duty
Level: Level 1

Topic: Law of Trusts
Series: MAY 2013

Question Tag: Cross-Border Transactions

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AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

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AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

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BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

You're reporting an error for "BL – May 2013 – L1 – SB – Q6C – Law of Trusts"

AT – Nov 2017 – L3 – Q6 – Tax Administration and Dispute Resolution

Company on the total tax liabilities

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BL – May 2013 – L1 – SB – Q6C – Law of Trusts

Explain the reporting duty of a bank and stockbroker in cross-border transfers involving Dr. Aminu.

You're reporting an error for "BL – May 2013 – L1 – SB – Q6C – Law of Trusts"

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