The following information relates to the partnership of Neil and Nicole for the year ended 30...
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The following information relates to the partnership of Neil and Nicole for the year ended 30 June 2020. They share profits and losses 50/50, after salaries and interest on capital. Calculate the net income of the partnership, the distribution to each partner, Nicole's taxable income and her tax liability for 2019/20. Receipts Cash receipts during the year Bank interest Expenditure Wages to employees Improvements to business premises (commenced 30.04.2017, completed 15.07.2019) Drawings - Nicole Salary to Neil Interest on capital to Nicole Superannuation contributions to complying fund ** ($10,000 per partner) Other (all allowable deductions) $ 650,000 3,500 Fully franked dividends from St George Bank Interest from Canada ($900 less $90 Canadian tax) 84,000 54,000 20,000 45,000 2,500 20,000 94,000 NICOLE'S PERSONAL TRANSACTIONS WERE AS FOLLOWS: 1,200 810 NOTE: You are not required to consider whether the receipts and expenditure above are GST inclusive or not. The following information relates to the partnership of Neil and Nicole for the year ended 30 June 2020. They share profits and losses 50/50, after salaries and interest on capital. Calculate the net income of the partnership, the distribution to each partner, Nicole's taxable income and her tax liability for 2019/20. Receipts Cash receipts during the year Bank interest Expenditure Wages to employees Improvements to business premises (commenced 30.04.2017, completed 15.07.2019) Drawings - Nicole Salary to Neil Interest on capital to Nicole Superannuation contributions to complying fund ** ($10,000 per partner) Other (all allowable deductions) $ 650,000 3,500 Fully franked dividends from St George Bank Interest from Canada ($900 less $90 Canadian tax) 84,000 54,000 20,000 45,000 2,500 20,000 94,000 NICOLE'S PERSONAL TRANSACTIONS WERE AS FOLLOWS: 1,200 810 NOTE: You are not required to consider whether the receipts and expenditure above are GST inclusive or not.
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Related Book For
Accounting
ISBN: 978-1118608227
9th edition
Authors: Lew Edwards, John Medlin, Keryn Chalmers, Andreas Hellmann, Claire Beattie, Jodie Maxfield, John Hoggett
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