Herbert, an Australian resident, had been living in Sydney. He decided to take a new job...
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Herbert, an Australian resident, had been living in Sydney. He decided to take a new job and transferred to Newcastle. Before moving, he sold the following assets: Item Purchase Price Rented Apartment $480,000 Yacht Gold jewellery Flat Screen Television Antique Vase $50,000 $5,000 $1,000 $4,000 Sale Price $580,000 $62,500 $10,000 $ 1,500 $3,000 All assets were purchased on 1 July 2015 and sold on 30 June 2023. The yacht has been used as his home since it was purchased, and he had nowhere else to live. Because of the pandemic and the shortage of accommodation he was surprised to sell it for more than it cost. Required: Explain how you would assess the capital gain on each of these items and then calculate the total amount to be included in his assessable income, if any, from these CGT events? Your answer must refer to the relevant legal rules as well as setting out the calculations. Herbert, an Australian resident, had been living in Sydney. He decided to take a new job and transferred to Newcastle. Before moving, he sold the following assets: Item Purchase Price Rented Apartment $480,000 Yacht Gold jewellery Flat Screen Television Antique Vase $50,000 $5,000 $1,000 $4,000 Sale Price $580,000 $62,500 $10,000 $ 1,500 $3,000 All assets were purchased on 1 July 2015 and sold on 30 June 2023. The yacht has been used as his home since it was purchased, and he had nowhere else to live. Because of the pandemic and the shortage of accommodation he was surprised to sell it for more than it cost. Required: Explain how you would assess the capital gain on each of these items and then calculate the total amount to be included in his assessable income, if any, from these CGT events? Your answer must refer to the relevant legal rules as well as setting out the calculations.
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To assess the capital gains tax CGT on each of Herberts assets and calculate the total amount to be ... View the full answer
Related Book For
South-Western Federal Taxation 2020 Comprehensive
ISBN: 9780357109144
43rd Edition
Authors: David M. Maloney, William A. Raabe, James C. Young, Annette Nellen, William H. Hoffman
Posted Date:
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