its a Taxation. I need help to answer question 1 & 2. in determine the CGT, we have to refer to the correct key section of the law. Please note that this is taxation Law unit, which means as per the INSTRUCTIONS given in the assignment questions you supposed to Support your answer by referring to relevant statutory and case law.

Assignments Instructions and Requirements QUESTION 1- (10 MARKS)

The City Sky Co is a property investment and development company. Recently the company purchased a vacant piece of land south of Brisbane on which it is planning to build 15 apartments to sell. The City Sky Co has engaged the services of the local lawyer, Maurice Blackburn, to provide the legal services required for the development for $33,000. Maurice Blackburn runs an established sole trader business and turns over revenue of $300,000 per year.

Advise The City Sky Co of the input tax credit entitlements that they may be entitled to. Assume that The City Sky Co is registered for GST purposes.

QUESTION 2 - (10 MARKS)

Emma has provided to you a listing of the transactions she has undertaken throughout the financial year to assist you in completing her 2015 income tax return.

Sale of a block of land for $1,000,000: Emma purchased the land as an investment in 1991. The purchase price was $250,000, plus $5,000 in stamp duty, $10,000 in legal fees. To fund the purchase, she took out a loan on which she paid interest totalling $32,000. During the period of ownership her council rates, water rates and insurance totalled $22,000. In January 2005 a dispute occurred with a neighbour over the use of the land and legal fees incurred amounted to $5,000 in resolving this dispute. Before putting the property on the market $27,500 was spent to remove a number of large dangerous pine trees that were on the land. Advertising, legal fees and agents fees on the sale of the land were $25,000.

Sale of Emmas 1000 shares in Rio Tinto for $50.85 per share: Emma paid brokerage fee of 2% on the sale. Emma initially purchased the shares for $3.5 per share in 1982.

Sale of a stamp collection Emma had purchased, from a private collector, in January 2015 for $60,000: Emma sold the collection at auction for $50,000. Auction fees totalled $5,000 for the sale.

Sale of a grand piano for $30,000: It was initially bought for $80,000 in 2000.

HI6028 Taxation Theory, Practice and Law Individual Assignment T2.2019 4

Advise Emma of the capital gain tax (CGT) consequences of her transitions. Ignore indexation. Your answer must include references to relevant tax law and or cases.

22:30 X HI6028 Individual Assignment T2 20.. 4 of 6 Assignments Instructions and Requirements QUESTION 1-(10 MARKS) The City Sky Co is a propenty investment and development company. Recently he company purchased a vacant piece of land south of Brisbane on which it is planning to build 15 apartments to sel. The City Sky Co has engaged the services of the local laeyer Maurice Backbum, to provide the legal services nequired for the development tor $33.000. Maurice Blackbun runs an established sole trader business and tums over revenue of $300,000 per year. Advise The City Sky Co of the input tax oredt enttiements that they may be enttied to. Assume that The City Sky Co is registered for GST purposes QUESTION 2-(10 MARKS) Emma has provided to you a listing of the transactions she has undertaken throughout the financial year to assist you in completing her 2015 income tax retum Sale of a block of land for $1,000,000 Emma purchased the land as an investment in 1991. The purchase price was $250.000. plus $5,000 in stamp duty, $10.000 in lega oes To fund the purchase, she took out a loan on which she paid interest totaling $32.000 During the period of ownership her council rates, water rates and insurance totaled 22.000. In January 2005 a dispute occumred with a neighbour over the use of the land and lea fees incumed amounted to $5,000 in resolving this dispute. Belore putting the property on the market $27.500 was spent to remove a number of large dangerous pine trees tha were on the land. Advertising, legal fees and agents fees on the sale of the land were $25.000 Sale of Emma's 1000 shares in Rio Tinto tor $50.85 per share: Emma paid brokerage fee of 2% on the sale. Emma intialy purchased the shares for $3.5 per share in 1962 Sale of a stamp collection Emma had purchased, from a private collector, in January 2015 for $60,000 Emma sold the collection at auction tor $50,.000. Auction fees totaled 5,000 for the sale Sale of a grand piano for $30,000: twas intialy bought for $80.000 in 2000 H on Thory Phaction and Law induidu Asen 12 Advise Emma of the capital gain tax (CGT) consequences of her ranstions pnone indexation. Your answer must include references to relevant tax law and or cases Assignment Structure should be as the following (students' responses invalves calculations, and students must refer to the relevant legislation and or cases whenever required according to the questions). Marking criteria Marking eriteris Question 1 ldensticason of material tacts regarding The City Sky Co goods and 1 Mark services tax (GST) consequences discussed in the assignment question denetication and analysis of legal issues/ legal question and relevant 2 Marks laxation law Thorough yet sucpinct appicaen of tas Weighting 3 Markg