Taxation Advice for Donald Jensen - Financial Accounting

This assignment is a report providing financial and taxation advice to Donald Jensen. It addresses the client's tax return, highlighting areas for improvement such as managing expenditure to reduce losses and maximize deductions. The report emphasizes the importance of accurate reporting of superannuation contributions, differentiating between employer and personal contributions, and details how to claim allowable deductions. It also mentions the availability of rebates for health insurance premiums. The overall aim is to guide Donald Jensen in optimizing his financial situation and ensuring accurate tax filings.

Running head: LETTER OF ADVICE
Letter of Advice:
To Donald Jensen
From Tax Accountants
Dt: 11-01-2018
An individual tax payer is required to improve their financial conditions by
establishing the balance in all their income derived and expenditure in order to stabilize the
overall amount of tax that is imposed on a person. In the filing the tax return of Donald
Jensen it is noticed that you have incurred loss due to the higher amount of expenditure in
comparison to the income reported by you. The total amount of deductions is higher in
repsect of the losses that is suffered by you. It is therefore advice to lower down the losses for
the particular year since the negative figures reflects a lower earnings.
The reportable amount of superannuation contribution reported by you stood $10000
rather than being $12000 since the sum of $10000 is provided by the employer to you which
will be reflected in your tax return. The personal amount of contribution that is made by you
in respect of the superannuation fund would be considered as the allowable taxable
deductions. The Australian taxation office provides an individual tax payer with the rebate
relating to the health insurance premium. As a result of this you shall be entitled to
deductions for the premium that is paid by you in your health protection plan. It is therefore
assumed that the advice provided has helped in serving you with your status of tax.
Thank You
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