Question 6.11 (Various concessions applied)

Mac Hasic is a 40 year old resident taxpayer who operates an accounting practice. As a sole practitioner, Mac recognises his income and deductions on a cash basis. He also elects to apply all available small business concessions.

During the 2019/20 tax year, the following transactions relating to his business:

RECEIPTS Receipts from Clients Proceeds from sale of old photocopier on 1/7/19 (currently in the general small business pool) PAYMENT'S RELATING TO BUSINESS (excludes GST) Net wages paid to employees PAYG withheld from wages and forwarded to ATO Purchase of new photocopier (1/7/19, effective life 6 years] Rent of office Debtors General SBE Pool Balance PAYG tax payable to ATO Rent Paid in Advance ($2,000 per month) 140L19 $31,500 $48,900 $2,400 $2,000 $372,000 $2,700 $94,000 $24,000 $31,000 $62,000 30-Jun-20 $34,700 $0 $3,800 $4,000