TASK Maggie has come to you with the rest of her tax information in order to lodge her 2021 tax return Interact $ Received 78000 Salary from teaching position (tax deducted of $17,000) 15,000 Salary from part-time employment as tertiary lecturer (tax deducted of $7,500) 1,000 Entertainment allowance from employer (spent in full having lunch other teachers as part of the teachers network) 500 Gift of $500 bottle of wine from Principal, part of a basket of wine and cheeses raffled by the Parents and Friends of the School and won by the Principal Rent from tenanted property 6,200 1,000 Interest on investments Cash dividend from public company, ($910 imputation credit) 2,100 During the year a work of art was sold for $5,000 which had originally been purchased for $9,000; and a rare antique for $5,000 that had originally been purchased for $50. Both were sold as part of a redecoration project in Maggie's home. In addition a jet-ski was sold for $6,000 which had been originally purchased for $10,000 as COVID restrictions had impacted on Maggie's enjoyment. 16,000 Spent Tenanted property 1,200 1,400 200 Repairs: 7-10 July painted property inside and outside 1 November plumber-connection to sewerage 1 December electrician replace faulty wiring Interest on mortgage Insurance on property Rates for property 5,500 450 700 Other expenses 290 Purchased books on skills to teach online 838 1.435 3,000 Subscription to education journal Purchase high grade microphone and headset Attended Education conference and was absent for 4 days, registration, meals and accommodation for 2 days valued at $2500 was paid by her school employer but Maggie paid accommodation $400 and meals $100 for the day before and after as the conference started at 9.00 am and finished at 6.00pm on the last day. Maggie used her own car to travel the 600 km round trip. Undertaking an MBA, (not at employer's request). Course fees of $3,000 plus $1,000 on materials and travel to residential components 4,000 The following additional information has been provided: Tenanted property sold on 31 March 2021. It had been acquired on 1 July 2007 at cost of $200,000. Property was tenanted from 1 August 2007 until sold. Proceeds of sale $724,200, costs of sale $14,200. As well as the salary Maggie's negotiated for her employer to provide a vehicle. The vehicle which cost $36,000 was available for use every day over the year and travelled 14,000 km of which 8,000 km was for business including to the conference. Operating costs including fuel were $12,400 Maggie is am Australian resident, not married and not supporting any children. . 1. You are tasked to a. Calculate the net income tax payable/refundable for Maggie for the year ended 30 June 2022. Your response should be in the format of a repon suitable to be included in the work-papers of a client file. The work-papers will set out the tax treatment of each item and any assumptions used in the calculation of the net tax position. The focus should be arriving at the best tax outcome for Maggie b. Identify any additional information that would be required to clarify the assumptions you have made. c. Prepare a letter to Maggie advising her of the interim tax position and requesting any additional Information 2. You have been mentoring a junior employee who has worked with you on Maggie's tax return. They are keen to leam and have asked you to explain how Maggie's employer would treat the various amounts that they have paid Maggie. a. Prepare an email to them explaining how these payments would be treated. (Question 1- 17 marks, and Question 2 - 8 marks) Useful resource: Geller, T. (2017). Writing Formal Business Letters and Emails. Carpenteria, CA: lynda.com RATIONALE SUBJECT LEARNING OUTCOMES This assessment task will assess the following learning outcome/s: be able to locate and analyse the sources of taxation law in Australia. be able to describe and access the Australian regulatory taxation system and compliance regime. be able to interpret legislation to compute taxable income and allowable deductions to determine taxation liabilities and evaluate appropriate offsets. be able to critically evaluate the law relating to capital gains taxation and trading stock and calculate the relevant tax liabilities. Covering topics 4 to 13, this assignment has been designed to ensure that students are able to identify and apply legislation, rutings and case law to the issues identified as well as demonstrate the ability to analyse the issues fully and apply this knowledge to a hypothetical, practical situation and communicate to a diverse audience. GRADUATE LEARNING OUTCOMES This task also contributes to the assessment of the following Charles Sturt Graduate Learning Outcomes https://student.csu.edu.au/study/glo): Academic Literacy and Numeracy (Knowledge) - Charles Sturt Graduates understand the use and structure of appropriate language in written, oral, visual, mathematical, and multi-modal communication. Academic Literacy and Numeracy (Skill) - Charles Sturt Graduates demonstrate the literacy and numeracy skills necessary to understand and interpret information and communicate effectively according to the context. Academic Literacy and Numeracy (Application) - Charles Sturt Graduates consider the context, purpose, and audience when gathering, interpreting, constructing, and presenting information TASK Maggie has come to you with the rest of her tax information in order to lodge her 2021 tax return Interact $ Received 78000 Salary from teaching position (tax deducted of $17,000) 15,000 Salary from part-time employment as tertiary lecturer (tax deducted of $7,500) 1,000 Entertainment allowance from employer (spent in full having lunch other teachers as part of the teachers network) 500 Gift of $500 bottle of wine from Principal, part of a basket of wine and cheeses raffled by the Parents and Friends of the School and won by the Principal Rent from tenanted property 6,200 1,000 Interest on investments Cash dividend from public company, ($910 imputation credit) 2,100 During the year a work of art was sold for $5,000 which had originally been purchased for $9,000; and a rare antique for $5,000 that had originally been purchased for $50. Both were sold as part of a redecoration project in Maggie's home. In addition a jet-ski was sold for $6,000 which had been originally purchased for $10,000 as COVID restrictions had impacted on Maggie's enjoyment. 16,000 Spent Tenanted property 1,200 1,400 200 Repairs: 7-10 July painted property inside and outside 1 November plumber-connection to sewerage 1 December electrician replace faulty wiring Interest on mortgage Insurance on property Rates for property 5,500 450 700 Other expenses 290 Purchased books on skills to teach online 838 1.435 3,000 Subscription to education journal Purchase high grade microphone and headset Attended Education conference and was absent for 4 days, registration, meals and accommodation for 2 days valued at $2500 was paid by her school employer but Maggie paid accommodation $400 and meals $100 for the day before and after as the conference started at 9.00 am and finished at 6.00pm on the last day. Maggie used her own car to travel the 600 km round trip. Undertaking an MBA, (not at employer's request). Course fees of $3,000 plus $1,000 on materials and travel to residential components 4,000 The following additional information has been provided: Tenanted property sold on 31 March 2021. It had been acquired on 1 July 2007 at cost of $200,000. Property was tenanted from 1 August 2007 until sold. Proceeds of sale $724,200, costs of sale $14,200. As well as the salary Maggie's negotiated for her employer to provide a vehicle. The vehicle which cost $36,000 was available for use every day over the year and travelled 14,000 km of which 8,000 km was for business including to the conference. Operating costs including fuel were $12,400 Maggie is am Australian resident, not married and not supporting any children. . 1. You are tasked to a. Calculate the net income tax payable/refundable for Maggie for the year ended 30 June 2022. Your response should be in the format of a repon suitable to be included in the work-papers of a client file. The work-papers will set out the tax treatment of each item and any assumptions used in the calculation of the net tax position. The focus should be arriving at the best tax outcome for Maggie b. Identify any additional information that would be required to clarify the assumptions you have made. c. Prepare a letter to Maggie advising her of the interim tax position and requesting any additional Information 2. You have been mentoring a junior employee who has worked with you on Maggie's tax return. They are keen to leam and have asked you to explain how Maggie's employer would treat the various amounts that they have paid Maggie. a. Prepare an email to them explaining how these payments would be treated. (Question 1- 17 marks, and Question 2 - 8 marks) Useful resource: Geller, T. (2017). Writing Formal Business Letters and Emails. Carpenteria, CA: lynda.com RATIONALE SUBJECT LEARNING OUTCOMES This assessment task will assess the following learning outcome/s: be able to locate and analyse the sources of taxation law in Australia. be able to describe and access the Australian regulatory taxation system and compliance regime. be able to interpret legislation to compute taxable income and allowable deductions to determine taxation liabilities and evaluate appropriate offsets. be able to critically evaluate the law relating to capital gains taxation and trading stock and calculate the relevant tax liabilities. Covering topics 4 to 13, this assignment has been designed to ensure that students are able to identify and apply legislation, rutings and case law to the issues identified as well as demonstrate the ability to analyse the issues fully and apply this knowledge to a hypothetical, practical situation and communicate to a diverse audience. GRADUATE LEARNING OUTCOMES This task also contributes to the assessment of the following Charles Sturt Graduate Learning Outcomes https://student.csu.edu.au/study/glo): Academic Literacy and Numeracy (Knowledge) - Charles Sturt Graduates understand the use and structure of appropriate language in written, oral, visual, mathematical, and multi-modal communication. Academic Literacy and Numeracy (Skill) - Charles Sturt Graduates demonstrate the literacy and numeracy skills necessary to understand and interpret information and communicate effectively according to the context. Academic Literacy and Numeracy (Application) - Charles Sturt Graduates consider the context, purpose, and audience when gathering, interpreting, constructing, and presenting information