1) Case Study:

Eliza Jones, single & aged 41, ceased to be an Australian resident on 14 March 2020 when she left Australia. She had derived a gross salary of $46,750 plus reportable superannuation benefits of $6,000 provided by her employer, Timber Sales Pty Ltd ABN 33 667 224 953, where she worked as an administrative assistant. PAYG tax withheld during the year was $7,200. She had no other income or deductions during the year and does not have private health cover.

Personal details: Date of Birth 22 May 1978. Address 6 Wilson Street, Heyfield Vic 3210, Tax file # 333 333 333.Bank Account Details BSB 452 000 Bank 001 654 396

Account:Eliza Jones. Mobile phone 0406 115 900 Email: j..a@dodocom

Required:

Prepare Tax Return using HandiTax 2020 and attached the full copy of the completed tax return.

2) Case study:

Shane is an Australian resident for tax purposes. During the year he derived gross business income of $152,200 and had business deductions of $87,000 (PAYG Instalments paid $15,100), $8,600 interest from an overseas bank account, net of $3,400 tax, and rent of $18,000 from a property in UK which he owns, net of $6,500 tax. He has adequate private health insurance.

Required:

For the year ended 30 June 2020, calculate Shane's:

a)taxable income

b)net tax payable or refundable

3) Case Study:

Maria is an investor and over the years has acquired and disposed of a number of assets. She has kept records of all these transactions. During the year ended 30 June 2020, Maria disposed of several assets. As a result of these disposals, she made a number of capital gains and losses:

$

Profit on sale of trading stock15,000

Loss on disposal of motor vehicle(5,000)

Gain on disposal of vacant block of land

(acquired 1/9/19) 17,000

Gain on sale of shares4,250

Loss on sale of shares(2,630)

Loss on disposal of caravan (cost $25,000)(5,000)

Loss on disposal of antique watch (cost $4,000) (560)

Gain on disposal of investment property (acquired 24/12/2004)162,000

Capital losses carried forward from previous years:

Loss on disposal of painting1,200

Loss on disposal of shares 12,000

All assets, other than the land, had been owned by Maria for more than 12 months and had been acquired since December 1999.

Required:

a) Calculate the net capital gain that Maria should include in her tax return for the year ended 30 June 2020 and any losses that can be carried forward to future years

b) explain how long Maria should keep her records, relevant to this tax return being lodged?

c)identify two (2) key features of appropriate organisational policies and procedures which Maria would need to have followed to ensure the capital gains were calculated correctly

d)Briefly explain how each key feature in the preparation of income tax documentation for individuals

e) explain how long Maria should keep her records, relevant to this tax return being lodged?

4) Case study:

Ahmed, an Australian resident, was made redundant on 30^th June 2020 at the age of 58. He had been employed at the company for 14 years and 9 months. His taxation records for the year ended 30^th June 2020 revealed the following:

Gross wages up to redundancy$65,000

(PAYG withheld $18,400)

Interest on savings account held jointly with spouse $4,200

Genuine redundancy payment$93,000

Lump sum received from his superannuation fund:

Taxable component (element taxed in the fund)$372,000

(PAYG withheld $26,000)

Ahmed has adequate private health insurance cover for the year.

Required:

For the year ended 30 June 2020, calculate Ahmed's:

(a)taxable income

(b)net tax payable or refundable