Lindsey Buckingham is an Australian resident. He works full-time as a senior solicitor for Brisbane Legal, a
Question:
Lindsey Buckingham is an Australian resident. He works full-time as a senior solicitor for Brisbane Legal, a firm of legal practitioners based in Brisbane city. Lindsey lives in a three-bedroom house in Wilston with his wife of fifteen years, Kristen, and their two children, Lachlan, aged ten, and Isabelle, aged seven. Lindsey and Kristen purchased this property in joint names in March 2015 for $840,000 and have lived there with their children since that date. As such, they regard this property as their main residence.
Lindsey has various investments, including shares in listed Australian companies and a rental property at Taringa which was bought in his own name during the 2021 income year.
Question:
Gross Salary and Wages
During the entire 2021 income year, Lindsey worked solely for Brisbane Legal.
Lindsey provides you with the following information that he downloaded from his MyGovID portal which summarises payroll information from his employer in relation to the period 1 July 2020 to 30 June 2021.
The information contained on his 2021 Income Statement is summarised below:
- Name of Payer: Brisbane Legal
- ABN of Withholder: 72 002 765 795
- Gross Salary: $141,565
- PAYG Tax Withheld: $38,784
- Reportable Fringe Benefits Amount: $7,028
- Reportable Employer Superannuation
- Contributions: $5,500
The reportable fringe benefits amount of $7,028 shown above is related to a salary-sacrifice arrangement that the firm has in place with all of its senior solicitors Lindsey arranged for Brisbane Legal to pay several personal expenses on his behalf. These expenses were all subject to fringe benefits tax.
What is the assessable income?
Expert Answer:
Part 1 Lindseys gross salary and wages for the 2021 income year were 84000 This is calculated as ... View the full answer
