Over the course of her working life, Samantha, an Australian resident, has travelled extensively and had acquired the following collectibles on such travels on the dates indicated: - 3 April 1988, a set of pearl earring for which she paid the equivalent of $16,000. - 28 July 1989, a Japanese samurai sword which cost $7,000. - 29 December 1995, a necklace and ring set made in the 14th century, costing $32,000. - 26 June 2004, an antique gold hairpin for $350. Samantha lives in the eastern suburbs of Sydney where she purchased her home for $2,600,000 on 25 June 1987. Over the years she has also purchased the following items: - 1 April 2005, a piano at the cost of $11,000 - 3 October 2007, a home theatre system at a cost of $26,000 - 28 March 2015, a BMW SUV car at a cost of $108,000. She also purchased a holiday home in Port Macquarie. Samantha purchased it on 28 June 2006 and paid the advertised cost of $750,000. Stamp duty and other purchase costs, including legal costs, totalled $40,000. Samantha took out an interest only loan on the property at a fixed rate on which she has been paying $36,000 per year in interest. Other costs relating to the property are $8,000 per year paid for rates and taxes and, in late June 2008, major repairs and extensions were undertaken at a cost of $80,000. This property has never been rented and Samantha used it as a holiday retreat for her family. As Samantha is retiring and moving to Bali, she sold all her non-real estate assets via an auction house on 28 June 2018 for the following amounts: - $30,000 for the set of pearl earring - $2,000 for the Japanese samurai sword - $80,000 for the necklace and ring set - $5,000 for the antique gold hairpin - $18,000 for the piano - $5,000 for the home stereo system - $70,000 for the BMW SUV car. She sold her home for $4,500,000 on 27 June 2018 incurring $30,000 in selling costs. 

On 30 June 2018 she sold the holiday home for $3,500,000 and paid $4,500 in legal fees. Required: Calculate, where applicable, Samantha’s capital gain on the sale of each asset and Samantha’s total taxable capital gain (Show all workings for both indexing and discount method where applicable)

Answer rating: 100% (QA)

Samanthas total taxable capital gain using the indexing method is as follows Set of pear... View the full answer