Your client, Fiona Smith owns a book shop in Melbourne. She operates as a sole trader. The business is known as the $$High Street Bookstore$$ and Fiona has an ABN, a registered business name and is also registered for GST$.$ Fiona also has other investment income which she owns herself. The following figures are as at the end of the financial year, $30$ June $2024$ and do not include GST$.($Do not make any adjustments for GST$)$

Receipts

$395,700$ Sale of books and related products

$7,400$ Interest on Bank deposits.

$32,500$ Exempt income from a PhD scholarship from CQU

$1,500$ Private Health fund refunds

$240,000$ Inheritance from her grandfather

$47,500$ Rent from her investment property

$6,220$ Refund from the ATO for the last year$$s tax return

$43,000$ Net capital gain from the sale of shares held for $5$ years.

$100,000$ Lottery win $$ Fiona was just very lucky.

$2,650$ Value of a TV given to her by a book publisher for record sales

$7,000$ A franked dividend from ABC Ltd $$ imputation credit $$3,000$

Payments

$47,000$ Rent on her bookstore in Melbourne

$3,400$ Body Corporate fees on income producing property.

$75,000$ Part$-$time employee salaries

$10,000$ Superannuation contribution for employees

$28,600$ Interest on borrowing to purchase the income producing property.

$5,500$ Insurance, local council rates and land tax for the investment property

$2,500$ Fees paid to a registered Tax Agent

$38,800$ New bookshelves and counter with an estimated life of $10$ years

$2,000$ Travel to and from work to home

$4,500$ Rates on her principal residence where she lives with her family.

$2,400$ Doctors fees for Fiona and her family

$2,265$ University fees for Fiona

$18,445$ Personal Superannuation contribution for Fiona

$38,800$ Purchase of a new Toyota motor car for private use by the family

$($a$)$ Fiona Smith is accounting for her taxation liability as a Small Business Entity $($SBE$)$

$($b$)$ On $1$ July $2023$ the opening depreciation pool balance for the SBE pool was $$15,000.$ During the year Kay purchased $1$ new depreciating assets used $100\%$ for business purposes in the bookshop. This is recorded in the payment$$s information listed above. The depreciation deduction has not been included in the above figures.

$($c$)$ Fiona has a carry forward tax loss from an earlier income year of $$45,000.$ This was due to the impact of COVID $19$ on her business.

$($d$)$ Fiona and her family are members of a private health fund and have private hospital insurance.

$($e$)$ Fiona has paid $$45,000$ in PAYG Instalments during the financial year ending $30$ June $2024.$

$($f$)$ The investment apartment was purchased new on $1$ July $2023$ for a total cost of $$750,000$ and is part of a hotel complex in Sydney. The real estate agent advised Kay that the construction cost of the apartment was $$466,000$ and this was confirmed by the builder.

REQUIRED

Calculate Fiona$$s personal tax liability for the year ended $30$ June $2024.$ You should explain your treatment of each item in this question. Figures must be rounded to the nearest dollar and do not include cents in your calculations.

Your answer should be in the correct format of Assessable Income less Allowable Deductions along the lines of the income tax formula. This gives you Taxable Income and you multiply this by the different marginal tax rates plus Medicare levy. This gives you tax payable less any tax offsets. The terms $$Payments$$ and $$Receipts$$ are not part of the Tax Formula and are not appropriate for taxation accounting.