Question
The following are the current year details of Angelo's income, expenses and the foreign tax he paid. All of Angelo's foreign income amounts have been
The following are the current year details of Angelo's income, expenses and the foreign tax he paid. All of Angelo's foreign income amounts have been converted to Australian dollars.
Gross income
$
Employment income from Australia
44,000
Employment income from United States
12,000
Employment income from United Kingdom
8,000
Rental income from property in United Kingdom
2,000
Dividend income from United Kingdom
1,200
Interest income from United Kingdom
800
Total gross income
68,000
Expenses
$
Medical expenses
5,000
Expenses incurred in deriving employment income from Australia
4,000
Expenses incurred in deriving employment income from United States
900
Expenses incurred in deriving rental income from United Kingdom
500
Gift to a deductible gift recipient
400
Interest (debt deductions) incurred in deriving dividend income
140
Expenses (debt deductions) incurred in deriving interest income
60
Total expenses
11,000
Foreign tax paid
$
Employment income from United States
3,600
Dividend income from United Kingdom
120
Interest income from United Kingdom
80
Rental income from United Kingdom
600
Total foreign tax paid
4,400
Determine Angelo's foreign tax offset.
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Accounting Principles
Authors: Paul D Kimmel, Donald E Kieso Jerry J Weygandt
IFRS global edition
1-119-41959-4, 470534796, 9780470534793, 9781119419594 , 978-1119419617
