BLAW30002 Lecture Notes - Lecture 1: 91 Days, Corporations Act 2001, 18 Months

• School: University of Melbourne
• Department: Business Law
• Course: BLAW30002
• Professor: All

Document Summary

Topic 1: jurisdiction to tax - right to tax. Basic formula: s 3-5 itaa97 provides that income tax is payable for each year by each individual and company and certain other entities, how to work out how much income tax you must pay: (s 4-10 itaa97) Income tax payable = (taxable income * tax rate) tax offsets. Nb: financial year = 1 july to 30 june (ss 4-10(1) and 955-1 itaa97) Taxable income: taxable income (s 4-15 itaa97) = assessable income less deductions, assessable income (s 6-1) = Exempt income (s 6-15: deductions , general deductions (s 8-1); and, specific deductions (s 8-5) Foreign residents are only taxed on australian-sourced income. Individuals (cid:120) a(cid:374) (cid:858)australia(cid:374) reside(cid:374)t(cid:859) is a perso(cid:374) (cid:449)ho is a reside(cid:374)t of australia for the purposes of itaa(cid:1007)(cid:1010): s. Intro: the ort ascertains whether the individual is a resident (cid:858)according to ordinary concepts(cid:859) a(cid:374)d is the primary test of residency.