Question 2
ICAN
•
2026
•
TAXATION
•
mixed
Case Stimulus
Chief Bamidele Lawrence, a renowned industrialist/business mogul, established a trust, Bamidele Lawrence Trust Foundation. The beneficiaries of the trust are his only child, Josephine and his two grandchildren - Abel and Abigail. The trustee, DAOL Legal Practitioners, is to apply the income accruing to the trust as specifically stated in the trust deed.
The records of the trustee show the following information for the year ended December 31, 2023:
Income: N
Trading income 100,000,000
Rental income (Net) 480,420,000
Miscellaneous income 10,000,000
The operating expenses for the year amounted to N48,850,000.
Capital allowance claimable for the year was N19,300,000.
Requirements
(
a
)
The taxable income of the trustee
(
b
)
The assessable income in the hands of the beneficiaries
(
c
)
The income tax liabilities of the beneficiaries (assuming that this is their only source of income)
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About This Question
This is
Ican
2026
Taxation
Question 2.
It is one of the
mixed
questions from the
2026
Ican
Taxation
examination.