Australian Taxation law

 

 

Part One: Income tax rates Martha is a resident who is 40 years old and has $170,000 of taxable income for the current income year. Calculate her basic income tax liability.

 

(hints: Medicare levy, medical levy, surcharge ,how to calculate medical levy surcharge give example why you have medical levy surcharge )

 

 

 

Part Two: Ordinary income In 1979, a doctor who lived and worked in Sydney purchased a 20 acre parcel of rural land on the outskirts of the city for $100,000. Over the years, he used the property as a “hobby farm” for growing “fruit trees” and as a “weekend retreat” for relaxation. Recently, the surrounding area has become more developed and the property has increased in value substantially. The doctor has also recently run into financial difficulties as a result of a malpractice suit and he is considering selling the property. Advise him as to whether he would be required to include any amount in his assessable income as a result of the sale.

 

(hints:1 is his resident property or not ? 2assume some figure ,ordinary income ,statutory income give explanation 2 case reference 1. statham & anor vs FC of T 89 ACT 4070 2. Casimaty vs FCof T 97 ACT 5135 Court judgments)

 

 

 

Part Three: General deductions Compare the decision in FC of T v Anstis (2009) with the decisions in Lunney and Hayley v FC of T (1958) and FC of T v Maddalena. Is it possible to reconcile the outcomes in these cases?

 

(hints: self education expenses. this case study will give two judgment 1 paragraph for 1 case each. no reconcile court judgment is final two judgment will be passed and both are right, opinion should be given)

 

 

 

Part Four: Provisions that deny or limit deductions Discuss some of the circumstances in which entertainment expenditure is deductible?

 

(hints :one and a half page write in own words only case reference correctly no need to explain case study)