Calculate her tax payable for the year

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Reference no: EM132867396

Question - Part 1 - Mrs AShe has presented you with the following list of items.Payment summary from Company B, a single mum with two children, would like you to assist her to prepare her tax return for the 30 June 2021 tax year.

Payment Summary for casual work from Company C - 50413

Payment for attending a casual work conference - 9357

Reimbursement for expenses at the casual work conference - 2000

State lottery winnings - 1000

Net capital gain on shares sold during the year - 6114

Dividends received - 6615

Compensation for loss of wages due to an injury at her casual job - 1000

Interest from a bank term deposit - 1000

Money from selling eggs that her chickens laid to her friends - 500

General work deductions - 10000

Deductions that are not allowed for tax purposes - 5000

She had private insurance from 1 January 2021 and a HELP debt of $20,000.

a) How much is her taxable income?

Part 2 - Use the 2021 tax rates from.

Mrs A, a single mum with two children, earned a taxable income of $190,000 for the 30 June 2021 tax year.

She had private insurance from 1 January 2021 and a HELP debt of $20,000.

b) Calculate her tax payable for the year.

Underline your answer and show full workings in the space provided.

c) If Mrs A worked at a jewellery store and her employer gave her a sales bonus of a diamond ring valued at $10,000 how would you treat this for taxation purposes? Briefly explain making reference to any relevant case law.

Reference no: EM132867396

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