Question
Maharaj Pty Ltd is an Indian restaurant that specialised in lamb and chicken biryani, Maharaj cater both dine in and take away, Maharaj located in
Maharaj Pty Ltd is an Indian restaurant that specialised in lamb and chicken biryani, Maharaj cater both dine in and take away, Maharaj located in Melbourne CBD where the company pay rents to the landlord that own the space. Maharaj employs 5 salaried staffs and registered for GST.
Maharaj also own 3-bedrooms apartments (residential) that the company rent out for the amount of $750/week ($39,000/year)
For the period ending 30 June 2021, the company recorded the following transactions
Amount Included GST where applicable | |
Income | $ |
Sales of Lamb Biryani | 252,000 |
Sales of Chicken Biryani | 151,200 |
Sales of Drinks | 88,000 |
Rental income (Residential Property) | 39,000 |
Expenses | |
Purchase of Ingredients (Raw Chicken, Lambs) | 35,000 |
Spices | 10,000 |
Cutlery (plates, spoons, forks) | 5,500 |
Electricity | 19,800 |
Bookkeeping/Accounting | 6,600 |
Rental expense (Restaurant) | 110,000 |
Depreciation expense (Furniture, fit outs) | 31,500 |
Interest expense | 4,650 |
Wages (Staffs) | 160,000 |
Rental Property expenses | |
Management Fee (Payable to real estate agency) | 2,145 |
Assume that valid tax invoices are available for all of these transactions, determine how much Net amount of GST which is payable to ATO for this period by Maharaj Pty Ltd. You need to provide short explanation for each components and legislation where its applicable.
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