Part $1-$ Please choose either Question A or Question B $...$ only $1$ question is required to be

completed worth $35$

Question A

Bert and Ernie $($Party Planners$)$

Bert and Ernie have a partnership and are equal partners running a business as party planners

and event co$-$ordinators focusing on children's parties and events. They provide a complete

service including arranging the food, decorations, entertainment, and party goods. They also

hired out some of their equipment when it was not being used in their own business.

The accounts of Bert and Ernie for the year ended $30$ June $2024$ are as follows:

Additional information

$($a$)$ The legal fees arose as a result of Bert and Ernie consulting their lawyers and

accountants to advise them if in future they should change their structure to a

company.

$($b$)$ Annual leave actually paid during the year was $$3,400.$

$($c$)$ $$1,020$ of the superannuation for staff remained unpaid at $30$ June $2024.$

$($d$)$ They are an SBE for tax purposesThis question must be completed $50$ Marks Lucky Investments Trust Lucky Investments Trust was settled by a family friend in $2010$ as an investment trust to benefit the members of the Lucky Family. Income and expenditure were as follows: Income $ Dividends from Big Mining Ltd franked to $100\%($attached franking credits of $$5,486)12,800$ Unfranked dividend from Bluesky Ltd $8,400$ Interest income on term deposit $9,654$ Rental income $54,000$ Net Capital Gains from the sale of shares $($assume they have been discounted by $50\%$ general discount$)33,127$ Expenditure Rates and taxes on retail premises $2,386$ Interest on loan used to purchase shares $6,800$ Legal costs associated with the preparation of the rental agreement $1,250$ Deductible repairs on the rental property $2\mathrm{.}469$ Accounting fees $990$ Additional information The trust income was distributed as follows: $$ Ellie $(17)$ was made specifically entitled to all the franked dividend income and also received a distribution of $$8400$ from the other income. Ellie had left school in early November $2023$ and started working full time in a pharmacy on $15$ November $2023.$ She continued working part$-$time at the pharmacy when she began studying hospitality full$-$time at TAFE. Her salary from her employer was $$12,500($PAYG withheld of $$980).$ She also received interest of $$1,900$ from monies she invested from a legacy left to her from her grandmother$$s estate. $$ Hannah $(25)$ was made specifically entitled to $100\%$ of the capital gain made by the trust. Hannah lived off her trust distributions and did not have any other source of income during the year. However, she did have a carried forward capital loss of $$6,350$ from previous income tax years. Semester $1$ and Trimester $1$A$,2024$ TAXA$2000$ Introduction to Australian Taxation Law Page $6$ of $9$ The Trustee exercised his discretion and paid $$4,500$ in respect of school fees for Preston $(12).$ The remaining income was to be accumulated in the Trust. Required: $1.$ Calculate the net income and Division $6$E income of the trust. $2.$ Calculate the taxable income $($if any$)$ of each Beneficiary and the net tax payable by each Beneficiary or the trustee. Explain and state the section numbers under which the Trust income will be assessed.