The purpose of this workshop is to familiarise you with some basic concepts and terminology. The questions reflect the material we have covered in lectures. Please bring your Fundamental Tax Legislation (FTL) to the workshop. In answering the questions, you should read the relevant sections in Principles of Taxation Law (PTL) and the corresponding statutory provisions in FTL.
- Explain briefly what you understand by each of the following terms:
- Progressive tax
- Regressive tax
- Direct tax
- Indirect tax.
Give examples of each.
Reading:
PTL ¶¶ 3.30; 3.200; 23.60; 26.240
ITAA 1997, s 995 (for ‘indirect tax’)
- Name three Commonwealth and two State taxes.
- Define the following terms:
- Financial year
- Income year.
Reading:
PTL ¶¶ 3.00; 3.120
ITAA 1997, ss 4-10(I),(2)(a) & 995
- What are the tax rates for each of the following:
- Company
- Resident individual
- Non-resident individual?
Cite relevant statutory provisions.
Reading:
PTL ¶¶ 3.190 – 3.210
Income Tax Act 1986, s 5(1)
Income Tax Rates Act 1986, ss 12(1), 23(1),(2) & Schedule 7 (parts I & II)
- Freda is employed as a law lecturer at Murdoch University. On 20 February 2022, she received a notice of assessment dated 15 February 2022 disallowing her claim for travel expenses totalling $7,500. What is the latest date on which she can lodge an objection to the notice? On what grounds might the Commissioner of Taxation extend the date for lodgement? What is the purpose of the objection and what information must it contain? What decisions can the Commissioner take with regard to the objection?
- Reading:
PTL ¶ 24.210 – 24.230
ITAA 1936, ss 170(1)(item 1), 175A
Taxation Administration Act 1953, ss 14ZU, 14ZW(1)(aa), 14ZW(2),(3), 14ZX, 14ZY
Practice Statement PS LA 2003/7.
George Syrota
February 2022
