John is a full time tertiary student, enrolled under HELP loan scheme that covers his total course
Question:
John is a full time tertiary student, enrolled under HELP loan scheme that covers his total course fee of $5,800. John also works part time in a suburban restaurant, earning a gross income of $380 per week. Each year, John receives an additional lump sum payment of $3,400 from a family trust set up by his grandparents that he keeps putting in a fixed deposit with a bank. In a stroke of luck this year, John has won a Lotto prize of $12,000 which he has promptly put in another fixed deposit.
Calculate;
1. John's total assessable income for the current financial year
2. HELP repayment amount at the current income thresholds
3. Tax deductions that John may be entitled for
Support your answers with reference to appropriate tax legislations that apply in each situation.
Financial and Managerial Accounting the basis for business decisions
ISBN: 978-0078111044
16th edition
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello