Taxation Law – Masters Level – Australia

Running head: TAXATION LAW – MASTERS LEVEL – AUSTRALIA
Taxation Law – Masters Level – Australia
Name of the Student:
Name of the University:
Authors Note:

TAXATION LAW – MASTERS LEVEL – AUSTRALIA
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Contents
Answer 1:.........................................................................................................................................2
Answer 2:.........................................................................................................................................8
References:....................................................................................................................................12

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Answer 1:
The income tax related provisions in Australia are governed by the Income Tax Assessment Act
1997 (ITAA 1997). Thus, while calculating anything related to the income tax in the country the
provisions of the act must be followed. Taking into consideration the provision of ITAA 1997
the computation of net income of the partnership business for income tax purposes is calculated
below.
Computation of net income of the partnership business for taxable purposed:
Particulars Amount ($) Amount ($)
Sales:
Cash 150,170.00
Credit 31,885.00
Revenue from sales 182,055.00
Less: Cost of goods sold (Note II) 156,513.00
(A): Gross profit 25,542.00
Operating expenses
Electricity 1,323.00
Mobile bills 563.20

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Council rates 310.20
Business insurance 1,250.00
Union fees 284.00
Account charges 595.00
Van maintenance 1,134.00
SUV maintenance 1,230.00
Air condition installation 1,200.00
Shop painting 150.00
Motor replacement 140.00
Depreciation on:
Restaurant freezer 296.00
Restaurant refrigerator 716.00
Shop shifting structure 593.00
Kitchen electrical appliances 150.80
Car van 310.00
Car SUV 2,070.00
Depreciation on new asset purchased: