The following information is provided by Jarrod Waite (a resident individual) who works as an employee of a sporting goods business as well as carrying on a business of personal training in partnership with his spouse. Income Net salary from his employer (payment summaries show that $12,000 tax has been withheld) 60,000 1,600 8,000 2,500 85 Car expense reimbursements from his employer (own car used, based on 4,000km at 40 cents/km) Fringe benefits received from employer Drawings from partnership of Waite & Waite Dividends from US resident company (net of US withholding tax of $15) Expenses Tax agent fees to lodge his prior year return (paid on 1 December 2019) Payment for 12 months business insurance (on 1 May 2020) Travel costs between work and clients' premises Premium on his own life insurance policy 350 1,200 800 1,000 Paragraph Styles 6 1 2I. 3 gang Dividends from US resident company (net of US withholding tax of $15) 85 Expenses Tax agent fees to lodge his prior year return (paid on 1 December 2019) 350 1,200 Payment for 12 months business insurance (on 1 May 2020) Travel costs between work and clients' premises Premium on his own life insurance policy 800 1,000 Other Information: Jarrod sold some BHP shares on 30 May 2020 for $17,000. He had purchased these in May 2000 for $9,900. Brokerage was $100. He also sold Telstra shares in July 2019 for $7,000. They cost him $11,900 in June 2000 Brokerage costs on sale were $100 The accountant to the partnership of Waite & Waite has advised that Waite's share of net partnership profit is $25,000 Required: Calculate Jarrod's taxable income for the year ended 30 June 2020, explaining the taxation treatment of each revenue and expenditure Justify your answers with reference to case law and ITAA sections where appropriate. Tax Rates - Resident Individual Tax rates for resident individuals, tax year ending 30 June 2020 Tax bracket (taxable income $) Tax on column 1 $ Marginal tax rate %6 0 - 18,200 Nil 0 18,201 - 37,000 Nil 19 37,001 - 90,000 3,572 32.5 90,001 - 180,000 20,797 37 180,001 and over 54,097 45 *Add medicare levy at 2% of taxable income. The following information is provided by Jarrod Waite (a resident individual) who works as an employee of a sporting goods business as well as carrying on a business of personal training in partnership with his spouse. Income Net salary from his employer (payment summaries show that $12,000 tax has been withheld) 60,000 1,600 8,000 2,500 85 Car expense reimbursements from his employer (own car used, based on 4,000km at 40 cents/km) Fringe benefits received from employer Drawings from partnership of Waite & Waite Dividends from US resident company (net of US withholding tax of $15) Expenses Tax agent fees to lodge his prior year return (paid on 1 December 2019) Payment for 12 months business insurance (on 1 May 2020) Travel costs between work and clients' premises Premium on his own life insurance policy 350 1,200 800 1,000 Paragraph Styles 6 1 2I. 3 gang Dividends from US resident company (net of US withholding tax of $15) 85 Expenses Tax agent fees to lodge his prior year return (paid on 1 December 2019) 350 1,200 Payment for 12 months business insurance (on 1 May 2020) Travel costs between work and clients' premises Premium on his own life insurance policy 800 1,000 Other Information: Jarrod sold some BHP shares on 30 May 2020 for $17,000. He had purchased these in May 2000 for $9,900. Brokerage was $100. He also sold Telstra shares in July 2019 for $7,000. They cost him $11,900 in June 2000 Brokerage costs on sale were $100 The accountant to the partnership of Waite & Waite has advised that Waite's share of net partnership profit is $25,000 Required: Calculate Jarrod's taxable income for the year ended 30 June 2020, explaining the taxation treatment of each revenue and expenditure Justify your answers with reference to case law and ITAA sections where appropriate. Tax Rates - Resident Individual Tax rates for resident individuals, tax year ending 30 June 2020 Tax bracket (taxable income $) Tax on column 1 $ Marginal tax rate %6 0 - 18,200 Nil 0 18,201 - 37,000 Nil 19 37,001 - 90,000 3,572 32.5 90,001 - 180,000 20,797 37 180,001 and over 54,097 45 *Add medicare levy at 2% of taxable income