Xu is an Australian resident taxpayer. For the current income year, he had taxable income of $50,000.

Based on this, Xu would be eligible for the Low Income Tax Offset (LITO), but not the Low and Middle Income Tax Offset (LAMITO). Further, he would not be required to pay the Medicare Levy or the Medicare Levy Surcharge.

True

False

Vince is 20 years old and wants to save $60,000 to use as a house deposit when he is 30 (i.e. in 10 years time). Assuming Vince does not currently have any savings, how much does he need to save each year to reach his $60,000 goal? Assume he invests his yearly savings into an investment which returns 6% per annum and compounds annually.

		$8,152
		$6,000
		$4,552
		$3,350