Q20.12.7

(Tax losses, partner in partnership)

The following data relates to Stephanie Garner, a resident taxpayer. Stephanie derives income from a public relations business and is also a partner in a marketing business.

2015/16

2016/17

2017/18

Assessable business income

$ 93,400

$ 126,000

$ 133,400

General business deductions

80,000

129,000

119,200

Share of Partnership Net Income (Loss)

(21,800)

14,900

(5,600)

Superannuation and Gifts

4,000

11,000

8,000

Net exempt income

1,500

3,000

2,000

General business deductions are separate from personal superannuation, gifts, partnership losses and losses of previous years.

Please assume that the necessary tests have been satisfied such that any partnership losses from Stephanie's share in the marketing business may be deducted from other income as appropriate.

Required: For each year, determine Stephanie's Taxable Income and any losses that may be carried forward.