Taxation Law: Determination of Tax Outcomes for Personal Services and Interest Income

Running head: TAXATION LAW
Taxation Law
Name of the Student
Name of the University
Authors Note
Course ID

1TAXATION LAW
Table of Contents
Answer to question 1:.................................................................................................................2
Answer to question 2:.................................................................................................................4
Answer to question 3:.................................................................................................................4
Answer to question 4:.................................................................................................................5
Answer to 4A:............................................................................................................................5
Answer 4 B:................................................................................................................................6
Answer 4 C:................................................................................................................................7
Reference List:...........................................................................................................................8

2TAXATION LAW
Answer to question 1:
Issue:
The issue is associated to the determination of the tax outcomes relating to the
services that are performed by the taxpayer for writing a book and selling the rights to the
media newspaper.
Laws:
 “Section 6-1 of the ITA Act 1997”
 “Section 6-5 of the ITAA 1997”
 “Brent v FCT (1971)”
 “Housden (Inspector of Taxes v Marshall (1958)”
 “Hussy v Hobbs (1943)”
Applications:
The case of Hilary clearly explains that she was very famous mountain climber
however she on one event a newspaper named daily terror approached to narrate the story of
her life by writing a book. Hilary performed the services of writing the book and later sold
the rights to newspaper named daily terror and received an amount of $10,000. With regard
to “section 6-1 of the ITA Act 1997” private exertion refers to the income that is received
from the personal services such as wages, salaries, fees or receipts from the business (Oishi,
Kushlev and Schimmack 2018).
“Section 6-5 of the ITAA 1997” explains that ordinary income refers to most of the
income that comes in based on the ordinary concepts (Bankman et al. 2017). “Denoting the
decision of “Brent v FCT (1971)” where the taxpayer was held taxable for narrating her life