Answer the aftercited interrogation delay allusion to the appropriate legislative provisions frank in Australia relative-to the application of appropriate proceeds tax rules and contriveulas. Do not ponder the possessions of comp theoretically useful other than that specifically attested.
Question 40 Marks
Giving reasons, designate any wholes that would be included as assessserviceable proceeds of the aftercited dweller taxpayers for the 2016/17 tax year:
(a) Nick Addison is industrious by Lazarus Holdings Ltd. His net weekly stipend totalled $78,000 for the year. Total PAYG tax delayheld from Nick’s weekly stipend from Lazarus and forwarded to the ATO wholeed to $19,000.
(b) Additional stipend remunerated to Nick as a Christmas premium of $6,000 (net of $4,200 PAYG tax delayheld).
(c) Reimbursement of out-of-pocket pilgrimage costs of $1,200 that Nick incurred during his trade.
(d) A pilgrimage stipend totalling $2,800. No PAYG was delayheld from this whole.
(e) Lazarus remunerated soundness protection premiums for Nick and his spouse to the estimate of $2,750.
(f) $10,000 superannuation oblation to Lazarus Holdings Superannuation Fund on bestead of Nick.
(g) Chris receives occasional stipend as a freelance journalist. On 4 July 2016 Chris was seriously damaged when he prostrate down seven flights of stairs whilst jogging one morning. He common $50,000 during the year from his indisposition and additament protection device for dropping of proceeds.
(h) Chris so common $8,000 from his soundness protection device towards sundry operations and rehabilitation that he required.
(i) Chris common a $70,000 mass sum inferior a trauma protection device for his exact pavement, which besides required stripping.
(j) Chris common a cheque for $5,400, which represented covet employment liberty that he had accrued from distinct years as a part-time copywriter. This whole is net of $1,600 PAYG tax delayheld.
(k) Quentin conducts occupation as a open medical practitioner. During the year, he common $79,000 in fees trodden from patients, and $154,000 in proceeds from Medicare.
(l) Warren derives occupation proceeds as a removalist. During the year, due to an falsity by his craftsman, Warren’s deal was off the route for 4 weeks and besides written off as irretrievable. All figures are esoteric of GST where useful. He common the aftercited wholes from his protection assemblage:
Reimbursement of deductible deal repairs Demurrage (indemnification for dropping of proceeds) Proceeds for arrangement of Deal (similar to size estimate)
$ 14,000 16,000 75,000
(m) Sandy operates a open food garner. During the year, his garner was matter to two defended robberies. He common the aftercited wholes from his protection assemblage (esoteric of GST):
Loss of coin sales from robberies
Loss of Trading Stock
Reimbursement of deductible garner repairs Reimbursement of Medical Expenses
$ 21,000 7,800 3,200 2,000
(n) Troy operates an advertising production. During the year, he has a “contra” action delay his claimant to the estimate of $25,000.
(o) Harrison derives occupation proceeds as a barrister. He instructs one of his clients to pay his fee of $19,000 trodden to Commonwealth Bank delay whom his spouse has a advance.
(p) Karl conducts occupation as a compress plumber. He completes a subcompress job for a capacious view assemblage in reappear for airfares and credit to the estimate of $8,000 rather than a coin fee.
(q) Rob conducts occupation as a attorney. He drafts some changes to a Will for one of his clients and does not assault a fee but receives a $250 two of cufflinks.
(r) Petros conducts occupation as a attribute developer. As a remainder of great pilgrimage throughout the year, Petros receives 178,000 numerous flyer points which he is serviceserviceable to recbalance in the contrive of air tickets to the estimate of $3,280.
(s) Len trades as a consideration retailer. During the year, he receives coin subsidies and spurs from a supplier for selling balance 2 kilometres of their consideration. This wholeed to $36,000.
(t) Shelley operates a coffee garner. Fiasca, a coffee supplier gives her an espresso record as an spur to use their coffee. The record is desert $12,000. They so cater her delay some outdoor umbrellas and effects delay the indicate of their coffee. These are estimated at $8,000 but must be reappeared to Fiasca if she ceases to buy their coffee.