• In relation to the operation of s 365-15 Schedule 1 TAA, which of the following statements is most correct?

An ATO officer cannot enter a building or place belonging to a taxpayer unless they are authorised to do so.

An ATO officer cannot remain on the premises of the taxpayer unless they have a valid authority.

An ATO officer cannot enter or remain on the premises of the taxpayer if they have been requested by the taxpayer to produce a valid authority and fail to produce such an authority, and have been asked to leave the premises by the occupier.

A duly authorised ATO officer can have full and free access at all times to the taxation records of a taxpayer and can remove the records from the premises of the taxpayer to make copies without consulting the taxpayer.

A duly authorised ATO officer must state at the start of their investigations the exact documents and information that they wish to discover.

Daniel is an accountant and on 4 June 2016 he received compensation of $25,000 for wrongful dismissal from his former employer, Jones Ltd. The compensation was to reimburse Daniel for lost wages as a result of the dismissal. On 10 June 2016, Daniel received $5,000 for agreeing to enter into a three-year contract to work with Brown Ltd and he started working for Brown on 25 June 2016. While he was between jobs, he did some part-time work for a labour hire firm and he received $900 in cash. The labour hire firm deducted PAYG withholding of $300 from his gross earnings of $1,200. Based on the above transactions, what amount will Daniel include in his assessable income for the year ended 30 June 2016?

$25,000

$30,000

$30,900

$31,200

$5,000

• Which of the following statements is most correct?

The most common type of income from property is the proceeds from selling capital assets.

Interest income is derived from the use of money.

The returns from an annuity are capital in nature.

Rent is generally statutory income.

Royalties are taxed under the capital gains tax provisions.