I N S T I T U T DE M A N A G E M E N T D' A L G E R

Etablissement privé de la formation supérieur

Année universitaire 2020-2021

SEMESTRIEL EXAM
Group: L3 English Course: Tax System
Speciality : Management Date : 07 / 03 / 2021
Semester : 5 Duration : 1h 30 min
Exercise 1:
A wholesaler has a tax rate 2% with an exemption of 30% on operations done by
cheques:
Exemption = 13,450,000 x (1-0.45) x 0.3 = 2,219,250
TAP Mustapha = (13,450,000 - 2,219,250) x 0.02 = 224,615 dzd
Exercise 2:
1. TVA Sales = 4,200,000 x 0.19 = 798,000 dzd
TVA purchases = (1,256,000 x 0.09) + (598,000 x 0.19) = 226,660 dzd
TVA To be paid = TVA Sales - TVA purchases = 571,340 dzd
2. To pay installments we have to consider IBS 2019 = 5% of Capital
IBS 2019 = 10,000,000 x 0.05 = 500,000 dzd
He started the business in April so:
• 1st installment: May 20th to June 20th 2020 = 500,000 x 0.3 = 150,000 dzd
• 2nd installment: Oct 20th to Nov 20th 2020 = 500,000 x 0.3 = 150,000 dzd
Products 2020 4,200,000
Raw materials 2020 - 1,256,000
Consumables 2020 - 598,000
Cost of production 2020 - 898,000
Taxable income 1,448,000
It’s a production company so the Tax rate is 19%
IBS 2020 = 1,448,000 x 19% = 275,120 dzd
• Adjustment: before May 20th 2021 = 275,120 - (150,000 + 150,000) = - 24,880dzd
Exercise 3:
1- Single flat-rate tax IFU:
Hairdressing is not an activity of production or sale of goods so tax rate is 12%
IFU Nabil = 418,800 x 0.12 = 50,256 dzd
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 I N S T I T U T DE M A N A G E M E N T D' A L G E R
Etablissement privé de la formation supérieur
Année universitaire 2020-2021
Options on G12:
1- All at once:
50,256 dzd before June 30th
2- 3 installments:
Installment 1 = 50,256 x 50% = 25,128 dzd before June 30th
Installment 2 = 50,256 x 25% = 12,564 dzd between 1st and 15th September
Installment 3 = 50,256 x 25% = 12,564 dzd between 1st and 15th December
2- Real system tax IRG:
Annual revenue = 418,800 so monthly revenue = 34,900 dzd
Tax Nabil = (34,900 - 30,000) x 30% + (30,000 - 10,000) x 20% + (10,000 - 0) x 0% =
5,470 dzd
Reduction = 5,470 x 40% = 2,188 dzd = 1,500 dzd
Tax Nabil * = 5,470 - 1,500 = 3,970 dzd
Tax Nabil **= 3,970 x 8/3 - (20,000/3) = 3,920 dzd
Options on G50:
- 3,920 dzd before the 20th of every month
Between IFU and IRG:
IFU Nabil = 50,256 dzd /year
IRG Nabil = 3,920 dzd x 12 = 47,040 dzd / year
We advise Nabil to be subject to real system tax IRG because he will pay less tax than
single flat-rate tax system IFU, but once he chooses IRG there’s no turning back to
IFU if he expects a big increase in his revenues in future.

Good Luck Dr. BARCA