Reference no: EM132787124
HI6028 Taxation Theory, Practice, and Law
Purpose:
This assignment is designed to assess your level of knowledge of the key topics covered in this unit
Learning Outcome 1: Demonstrate an understanding of the Australian income tax system, the concepts of income anddeductions, CGT, FBT, GST general anti-avoidance provisions and income tax administration.
Learning Outcome 2: Identify and critically analyse taxation issues.
• Interpret the relevant taxation legislations and case law.
• Apply taxation principles to real life problems.
Question 1
(Note this question is based on the Topic7Lecture: Fringe Benefits Tax)
GoodMatesPty Ltd loaned one of itsstaff, Munir, the amount of $5,000 (interest free) for one month. Due to personal life issues and financial hardship that Munir was suffering, it turned out that demanding the loan will endanger his health and will cause him not to be able to provide basic needs for his family. At the discretion of the board of directors, this loan was waived on compassionate reasons and Munir was informed.
Is the company required to pay any fringe benefit tax? Kindly use the templatebelow and discuss in detail.
Facts:
Rules and or cases:
Application:
Conclusion:
Question 2
(Note this question is from the Topic 8Lecture:Capital Gains Tax)
Ajay Ltdpurchased a depreciating asset with the value of $5,000 on 31 March 1989. On the same day, the company paid $50 to transfer the ownership. One year after, on 31 March 1990, this company spent an additional $1,500 for the asset functionality improvement.Later,on 31 March 1992, the company moved to a new place, and paid $200 to transfer this asset to the new location of business. Finally, the asset was sold in 2020 for $12,000(Ignore GST effect in all calculations of this question).
Calculate cost base, and capital gain (Loss), and capital gain tax, if any, considering Ajay decided to index (if applicable) and the relevant corporate tax rate is 30%.
(You can use your presentation slides for indexation, if required, and round to two decimals only, only use tables and no narration format is allowed, otherwise, the answer would not be marked).
Question 3
(Note this question is from the Topic 9Lecture:Goods & Services Tax)
A large company in Australia, called Alex Ltd, supplied $22,000 (GST Inclusive) worth of products to one of its local customers, Beta Pty Ltd,on 1 August 2019.Beta paid this bill in two equal instalments of $11,000on 10 May2020 and the second instalment on 15September 2020.
Discuss how each entity should account for GST. Alex Ltd is a GST-registered entity with ATO and accounts for GST on accrual basis, files BAS monthly and remains registered, while Beta is not registered for GST at all in both years.(No law sections or cases are required to be included in your answer, calculation of GST amount if any is required).
(11 marks.Word limit.Minimum of 120 words. Maximum of 150 words)
Question 4
To Be Released
Question 5
To Be Released
Question 6
(Note this question is from the Topic 12Lecture:Trading Stock, Partnerships, and Trust)
To Be Released
Attachment:- Taxation Theory.rar
|
Which is an example of a fixed cost
: Total costs are KD 180,000 when 10,000 units are produced; of this amount, variable costs are KD 64,000. What are the total costs when 13,000 units are produced
|
|
What hillside period costs total
: Sales commissions, KD 40,000; plant supervision, KD 94,000; and administrative expenses, KD 185,000. Hillside's period costs total
|
|
Which net operating income is expected to
: If the sales volume decreases by 50% and the variable expense per unit increases by 15%, net operating income is expected to
|
|
Determine the client and the systems analyst
: A member of your project team is a systems analyst who is old-fashioned and just cannot adjust to Adaptive Project Framework (APF). Her problem
|
|
Understanding of the australian income tax system
: Demonstrate an understanding of the Australian income tax system, the concepts of income anddeductions - Discuss how each entity should account for GST
|
|
Determine the bad debts expense
: Determine the Bad Debts Expense assuming the company provides 10% bad debts based on Net Credit Sales as of December 31, 202
|
|
Justify the most appropriate pmlc model
: How would you justify the most appropriate PMLC model to be used to satisfy the needs of the client and the systems analyst.
|
|
Compute the accounts receivable at the end of the year
: Based on the result of your audit, compute the Accounts Receivable and Adjusted Net realizable value of accounts receivable at the end of the year
|
|
Question - Preparing a plot of heat of solution
: From these data prepare a plot of the heat of solution at 25oC of CaCl2 in water, vs. n~, the mole ratio of water to CaCl2
|