Australian Taxation Law: Income, Deductions, and Digital Economy

This case study provides an analysis of Australian taxation law through two client scenarios. The first client, a YouTuber, earns income from her employer, sponsorships (both Australian and US-based companies), and army reserve payments. The analysis highlights the unique aspects of the Australian tax system, which levies taxes on individuals and companies for income earned both within Australia and overseas, including digital income. It also discusses the Goods and Services Tax (GST) implications and capital gains tax liabilities from selling personal assets. The second client, Joe Blogs, seeks to deduct development costs incurred from employing a consultant and constructing a car. The study refers to the Income Tax Assessment Act, 1999, to determine the deductibility of these expenses as depreciating assets or capital expenses, referencing relevant case law to prevent double taxation. Desklib provides access to similar solved assignments and study resources for students.