Calculate Partnership net income and Jack & Jill's assessable income only (ignore tax credits). Jack and Jill
Fantastic news! We've Found the answer you've been seeking!
Question:
Calculate Partnership net income and Jack & Jill's assessable income only (ignore tax credits).
Jack and Jill trade as partners in a retail business.
As per the partnership agreement profits will be distributed after allowing salary of $20,000 to Jack and $15000 to Jill; and interest on capital 10% (Jack contributed $100,000, Jill contributed $50,000).
Partnership adjustable income (distributable amount) was $80,000.
Additional information: Jill has loaned $40,000 to the partnership 5 years ago (used for business purposes) with the interest rate of 4% p.a.
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date: