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Taxation problem: Deductions for costs retaining to new computer On 12 February 2016, Greg, an employee, purchases a new computer that he uses 40% for

Taxation problem: Deductions for costs retaining to new computer

On 12 February 2016, Greg, an employee, purchases a new computer that he uses 40% for work purposes. The invoice shows the following amounts (inclusive of GST).

Desktop computer $5,000

Inkjet printer $250

Computer software $1500

Delivery fee $100

Maintenance contract (12 months)$400

$7250

Greg prefers to calculate decline in value using the diminishing value method

What deductions can Greg claim for the 2015/16 income year?

image text in transcribed Deductions for costs retaining to new computer On 12 February 2016, Greg, an employee, purchases a new computer that he uses 40% for work purposes. The invoice shows the following amounts (inclusive of GST). Desktop computer $5,000 Inkjet printer $250 Computer software $1500 Delivery fee $100 Maintenance contract (12 months) $7250 $400 Greg prefers to calculate decline in value using the diminishing value method What deductions can Greg claim for the 2015/16 income year? Show all workings Show sections references for all deductable

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