Purpose of the assessmnent
Students are required to follow the instructions provided by the Unit Coordinator to confirm any relevant information. You also need to refer to the relevant announcement(s) on Blackboard to confirm the due date and the time of the assignment.
The individual assignment will assess students on the following learning outcomes, as listed below:
1. Identify the sources of taxation law and the framework in which taxation is administered
2. Identify various types of taxation including income tax, consumption taxes, goods and services tax, taxes on capital and fringe benefits tax
3. Identify and apply the fundamentals of calculating the taxable income and tax payable for individuals and business entities
4. Communicate knowledge of taxation law, through written and/or Oral communication, and be able to demonstrate critical thinking and
legal analytical skills.
This individual assignment aims to assess students on learning outcomes 1, 2, 3 and 5 as mentioned above. This assignment covers the following key topics: Specific Deductions, Individual Income Tax and Fringe Benefits Tax (FBT). Students need to research these two (2) topics, as stated above, and apply their knowledge from the relevant weeks 1 – 10, before attempting these questions.
Based on the information above, advise your client of the capital gains tax consequences for each of the transactions stated above. Ignore indexation. Your answer must include references to the relevant tax law and/or cases.
a) Determine Sita’s capital gain or loss for the sale of land.
b) Determine Sita’s capital gain or loss for the sale of shares.
c) Determine Sita’s capital gain or loss for the sale of grand piano
d) Determine Sita’s Net capital gain or Loss for the 2020 Income Tax return
a) Based on your knowledge of Capital Allowances and the low value asset pool, calculate Sharma’s depreciation deduction for the year.