Leah owns a financial services business called Leah Hunter & Associates and lodges a quarterly Business Activity Statement (BAS). For the September quarter Activity Statement, the business paid a PAYG Instalment of $9,000. It is now January and you are completing the December quarter activity statement. The Australian Taxation Office has pre-printed an amount of $9,000 at field T7 of the Activity Statement for the December quarter PAYG instalment. However, Leah has decided to cease business operations for Leah Hunter & Associates effective from 1st March of the current income year and start a new business. As a result, Leah estimates that Leah Hunter & Associates total tax for the current income year will be $24,000. REQUIRED: Answer the following regarding the PAYG instalments for this entity Record your answers in the boxes below: 

 

1. Based on Leah's estimate for Hunter & Associates, what is the total amount of PAYG Instalments that they need to have paid for the September & December reporting quarters?=

 2. After applying the variation in the December quarter activity statement, how much is the PAYG Instalment amount to be paid for the December quarter?=

 3. How much will each of the PAYG Instalments be for the March & June quarters?=

 4. After all quarterly instalments have been made, how much will have been paid for the full financial year?=

 5. On the December Activity Statement, which Reason Code for Variation would you use?

Answer rating: 100% (QA)

The total amount of PAYG Instalments that Leah Hunter Associates need to have paid for the September ... View the full answer