Calculate Elises taxable income and net tax payable for the 2017/18 tax year. Elise has elected not

Calculate Elise’s taxable income and net tax payable for the 2017/18 tax year.

 

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Elise has elected not to utilise any of the smbusiness concessions and has provided the following data relating to 2017/18: PAYMENTS (excludes GST) Loan Repayments - Southern Bank (including $2,900 principal) Legal Costs relating to Loan (10-year term) Legal Costs relating to defamation case Net Wages paid to employees PAYG tax deducted from employee wages and paid to ATo Late Lodgement fee relating to Business Activity Statement Personal Superannuation Contribution Redundancy paid to employee on 24/12/17 Purchase of upgraded computer software (1/1/18, effective life 3 years) Purchase of facsimile (1/7/17, effective life 4 years) Purchase of printer (1/7/17, effective life 4 years) Purchase of car (1/7/17, effective life 8 years) Construction costs for extension of business premises (completed 1/8/17) 40,000 Car expenses Drivers Licence Fringe Benefits Tax Entertainment ($900 of this was subject to Fringe Benefits Tax) Connection of Electricity Mains (1/7/16) Drawings Other deductible expenses $ 15,000 500 2,000 40,000 13,000 220 19,000 7,000 1,700 400 1,900 35,000 9,000 100 800 1,600 1,900 40,000 37,920 RECEIPTS (excludes GST) Proceeds of business loan - Suthern Bank (10-year loan, 1/7/17) 70,000 98,000 110,000 80,000 120 Cash Sales Receipts from Debtors Capital Proceeds from sale of facsimile (sold 30/6/18) OTHER INFORMATION (excludes GST) Debtors as at 30/6/18 Income Received in Advance (deposits) as at 30/6/18 Accrued Superannuation as at 30/6/18 Annual Leave Provision as at 30/6/18 PAYG withholding payable as at 30/6/18 Settlement Payable on defamation case Bad Debts written off during 2017/18 Video Camera received from customer as settlement of account Elise maintained a diary indicating that her car was used 73% for business and 27% for travel between home and work. 25,000 30,000 8,000 3,700 4,600 30,000 7,000 2,100 The odometer reading on 30/6/18 showed 21,800 kilometres. Elise has elected not to utilise any of the smbusiness concessions and has provided the following data relating to 2017/18: PAYMENTS (excludes GST) Loan Repayments - Southern Bank (including $2,900 principal) Legal Costs relating to Loan (10-year term) Legal Costs relating to defamation case Net Wages paid to employees PAYG tax deducted from employee wages and paid to ATo Late Lodgement fee relating to Business Activity Statement Personal Superannuation Contribution Redundancy paid to employee on 24/12/17 Purchase of upgraded computer software (1/1/18, effective life 3 years) Purchase of facsimile (1/7/17, effective life 4 years) Purchase of printer (1/7/17, effective life 4 years) Purchase of car (1/7/17, effective life 8 years) Construction costs for extension of business premises (completed 1/8/17) 40,000 Car expenses Drivers Licence Fringe Benefits Tax Entertainment ($900 of this was subject to Fringe Benefits Tax) Connection of Electricity Mains (1/7/16) Drawings Other deductible expenses $ 15,000 500 2,000 40,000 13,000 220 19,000 7,000 1,700 400 1,900 35,000 9,000 100 800 1,600 1,900 40,000 37,920 RECEIPTS (excludes GST) Proceeds of business loan - Suthern Bank (10-year loan, 1/7/17) 70,000 98,000 110,000 80,000 120 Cash Sales Receipts from Debtors Capital Proceeds from sale of facsimile (sold 30/6/18) OTHER INFORMATION (excludes GST) Debtors as at 30/6/18 Income Received in Advance (deposits) as at 30/6/18 Accrued Superannuation as at 30/6/18 Annual Leave Provision as at 30/6/18 PAYG withholding payable as at 30/6/18 Settlement Payable on defamation case Bad Debts written off during 2017/18 Video Camera received from customer as settlement of account Elise maintained a diary indicating that her car was used 73% for business and 27% for travel between home and work. 25,000 30,000 8,000 3,700 4,600 30,000 7,000 2,100 The odometer reading on 30/6/18 showed 21,800 kilometres.

Answer rating: 100% (QA)

Computation of Income of Ms Elise for AY 2018 2019 Sr no Particulars Amount ... View the full answer