User Account

All Pages

Advise angelina and bradley on the capital gains tax

Assignment Help Taxation
Reference no: EM13739713

Question 1:

Fred, an executive of a British corporation specialising in management consultancy, comes to Australia to set up a branch of his company. Although the length of his stay is not certain, he leases a residence in Melbourne for 12 months. His wife accompanies him on the trip but his teenage sons, having just commenced college, stay in London. Fred rents out the family home. Apart from the absence of his children, Fred's daily behaviour is relatively similar to his behaviour before entering Australia. As well as the rent on the UK property, Fred earns interest from investments he has in France. Because of ill health Fred returns to the UK 11 months after arriving in Australia.

Requirement

Discuss whether Fred is a resident of Australia for taxation purposes.

Question 2:

Explain why the receipts in Egerton-Warburton & Ors v DFC of T (1934) 51 CLR 568 were assessable, but the receipts in IRC v Ramsay (1935) 1 All ER 847 were treated as capital amounts.

Question 2

Angelina is married to Bradley. They each have two houses: ‘house A' and ‘house B'. Angelina and Bradley each own a 50% interest in house A. Bradley owns an 80% interest in house B and Angelina owns a 20% interest in house B. As Angelina and Bradley are both busy actors who lead their own lives, they quite often live apart. This year the sold both house A and house B. Angelina wants to nominate house A as her main residence and Bradley wants to nominate house B as his main residence. Advise Angelina and Bradley as to how the main residence exemption will apply to them assuming that (ignoring the exemption) a capital gain of $1m was made on the sale of each house.

REQUIRED:

Advise Angelina and Bradley on the capital gains tax consequences regarding the abovementioned transactions for the 2014/2015 income year.

Verified Expert

Reference no: EM13739713

Questions Cloud

Research key leadership competencies : Research key leadership competencies needed in 2020. Then, respond to the following:
The demand curve for cookies is downward sloping : The demand curve for cookies is downward sloping. When the price of cookies is 2 dollars, the quantity demanded is 100.If the price rises to 3 dollars, what happens to consumer surplus?
With economies in decline and organizations downsizing : Entrepreneurship has become the new way of doing business in our world. With economies in decline and organizations downsizing and the lack of opportunities that satisfy, entrepreneurship has been born.
Write a research paper in which you explore funding from imf : Write a three to four page research paper in which you: Explore whether or not funding from international lending institutions like the World Bank and the IMF.
Advise angelina and bradley on the capital gains tax : Advise Angelina and Bradley on the capital gains tax consequences regarding the abovementioned transactions for the 2014/2015 income year.
Describe the advantages and disadvantages inherent : Describe the advantages and disadvantages of the choice you made. Describe the advantages and disadvantages inherent in the option you did not choose
Transitional and transformational change : In a two- to three- page paper (not including the title and reference pages) select a, b, or c from the list below and compare and contrast the change interventions.
Cash flow in an equal quarterly cash flow series : The first cash flow of a 25-year series of quarterly cash flows is equal to $35,000. Each cash flow in the series increases by $800. Find the amount of each cash flow in an equal quarterly cash flow series that is equivalent to the increasing cash fl..
Standard and poors investor services ratings : According to the Standard & Poor's Investor Services ratings, which of these ratings indicate a highly speculative bond

Reviews

Write a Review

Taxation Questions & Answers

  A explain basic income tax planning strategies for estates

a. explain basic income tax planning strategies for estates. b. the ricardo trust is a simple trust that correctly uses

  Prepare income tax entries for 2005

Prepare income tax entries for 2005, 2006, 2007, and 2008discounting deferred tax liabilities at 8 percent. Why would using discounting be a stronger asset-liability orientation than not discounting deferred tax liabilities?

  Part 1an individual partner is taxed on his or her share of

part 1an individual partner is taxed on his or her share of partnership income regardless of whether those amounts are

  Compute chipcos total foreign tax credit

Compute Chipcos total foreign tax credit, as well as the amount of excess credits (or excess limitation) in each separate basket of income.

  Question juan luan social security number 454-11-7000 is a

question juan luan social security number 454-11-7000 is a single taxpayer and is employed as an administrative help at

  Determine andrew and carol''s taxable income.

(1) Determine Andrew and Carol's taxable income.

  Determine the effect on income before income taxes

Examine and determine each capitalization creiteria and evaluate what type of lease this is for Adden.

  James and edna smith are a childless married

Mr. B’s 19-year-old son receives a $6,000 scholarship to X University. In the same year, Mr. B provides $4,500 to his son as the only other support. The other dependency tests are met. Is Mr. B entitled to claim his son as a dependent on his current-..

  What amount of gift tax will she pay

what amount of gift tax will she pay? Evaluate net tax savings percentage as a family unit if Sean sells the land

  Prepare a 2012 tax return using the following information

prepare a 2012 tax return using the following information. forms 1040 schedule a schedule b schedule c schedule se only

  What code section defines net earnings from self-employment

What code section defines net earnings from self-employment. Where is the treatment of partners with respect to self-employment tax explained in one of the tax services

  Prepare the journal entry to record income tax expense

Prepare the journal entry to record income tax expense, deferred taxes, and income taxes payable for 2012 - draft the income tax expense section of the income statement, beginning with "Income before income taxes"

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd