Taxpayer is self-employed and has derived $125,000 in assessable income but incurred allowable deductions of $150,000 in earning that income in the 2021 income year.

Included in the allowable deductions is a donation of $2,000 to the Royal Melbourne Hospital and superannuation contributions of $5,000 to Australian Super.

He also derived net exempt income of $17,000.

What is the tax loss for the 2021 income year in accordance with Div 36:

Select one:

a.

8,000

b.

$15,000

c.

$25,000

d.

$20,000