Fins 2643 Potential Questions Essays

* What are the differences between the following components of taxable income? Provide at least one example of each.

3. Calculate a taxpayer’s employment and self-employment taxes payable and explain tax considerations relating to whether a taxpayer is considered to be an employee or a self-employed independent contractor.

ITAA 1997 Section 995-1 provides that the meaning of an “Australian resident” is defined in ITAA 1936 Section 6 (1), which sets out different criteria for determining the residency of individuals and companies. There are four tests to ascertain that an individual is a resident or not. An individual need only to satisfy one of these tests to qualify as a resident for tax purposes. These tests are the ordinary concept test, the domicile test, the 183-day day test and the superannuation test.

This case study is to discuss whether Ernie is an Australian resident for tax purpose. If he satisfies any one of the residency tests in s 6(1) ITAA36 he will be determined for the year or part of the year. It is to determine which part of his income is to be taxed for the year June 2016. If he is a resident, he will be taxed on all income sources. If he is not a resident, he will only be taxed on Australian sourced income.

It is necessary for Jenny to be an Australian resident according to ordinary concepts. Tax rulings 98/17 assist to determine the residency of a person. In this case, Jenny is physically present in Australia. Additionally she leased an apartment for 9 months. She considers this apartment as her home during her stay. Moreover, her parents visit her two times. These are enough reasons for Jenny to be Australian resident for taxation purposes. So, Jenny is regarded as a resident of Australia.

Residents: All ordinary income and statutory income of an Australian resident taxpayer derived directly or indirectly from all sources, whether in or out of Australia, during the income year: s6-5(2) & s6-10(4).

Everyone else is required to hold a current visa with work rights in order to gain employment in Australia;

There are four alternative tests helping to decide whether a person is a resident of Australia or not. An individual needs to satisfy at least one test to prove residency.

When it comes to making a successful and highly profitable property investment, there are a number of factors that you need to consider before choosing an investment property. In addition to being highly competitive, property investing can be an everyday learning experience for both novices as well as successful property investors. Consecutively, hiring a reliable property investment company is vital for any investor. However, considering the fact that you can find a number of property investment companies in the market today, choosing the best one can be a daunting task. Not to worry, if you want to know how to invest in the right property and achieve financial

The most important tax in Australia is income tax, but compared to other wealthy nations around the globe Australia is a relative low taxed country.

In this assignment, it is assumed that Emma and Ryma are both tax residents of Australia.

183 Day Test- this test explains that an individual must be considered as an Australian resident if he/she has stayed continuously or intermittently for more than half a year of his/her income. The only exception to this test is based on the commissioner of The Australian Taxation office, if the commissioner agrees that the individual has his permanent abode in another country and has no interest in taking up permanent residency in Australian.

Obtaining a permanent residency for Australia is an arduous, if not impossible, task. A non-citizen has to apply for permanent visa to be able to stay in Australia without visa applying for visa extensions ever. After obtaining a permanent visa you can live and work in Australia without any restrictions.

The Learning Outcomes in this course also help you to achieve some of the overall

Woellner, R, Barkoczy, S, Murphy, S and Evans, C (2011). Australian taxation law 2013 (22nd ed.). Sydney, NSW: CCH