Holmes Institute HA3042 Taxation Law Assignment - T2 2019

This assignment addresses two main taxation law questions. The first question focuses on the tax residency of an individual in Australia, examining the capital gains tax (CGT) implications of various transactions. It analyzes the sale of a residential home, a car, a small business, furniture, and collectables, detailing applicable exemptions under the Income Tax Assessment Act 1997, including those related to pre-1985 asset purchases, personal-use assets, small business retirement, and specific asset values. The second question concerns the import and depreciation of a CNC machine. It addresses the calculation of the machine's cost for capital allowance purposes, considering expenses like travel, installation, and subsequent improvements, and determining the commencement date for depreciation calculations based on the asset's usability. The assignment references relevant sections of the Income Tax Assessment Act 1997 and provides a conclusion on the machine's initial cost and depreciation commencement, also mentioning the impact of improvements on depreciation.