Andy DeMangler is a sales executive at A2Z Pharmaceuticals Ltd, based in North Ryde, Sydney. His gross
Question:
Andy DeMangler is a sales executive at A2Z Pharmaceuticals Ltd, based in North Ryde, Sydney. His gross employment income is $275,000 including a base salary, commission on sales, and a bonus for exceeding his sales target. All his customers are within a 25 km radius of A2Z’s offices.
Andy incurs the following expenses:
Expense | Amount $ |
Petrol, car wash, repairs and parking re: his company vehicle (all receipts submitted to A2Z for re-imbursement) | 4,923 |
Laundry and dry-cleaning of business suits and shirts – A2Z requires all staff who meet with customers to dress professionally. Andy never wears a suit except for work, $25/week x 52 | 1,300 |
Parking fines re: client visits, not reimbursed by A2Z | 497 |
TAFE fees for Diploma in marketing (part-time) | 1,250 |
Home office expenses $10 per week. A2Z has a dedicated office at for sales executives, but Andy prefers doing all his work-related paper-work at home whilst watching TV with his family | 520 |
Which of the above expenses is deductible or non-deductible, and provide the reason(s) in the table.
Income tax law Australian 2019-2020.
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates