Taxation Law Assignment 2012

Before reading the paper, I had no idea what “horizontal equity” and “vertical equity” were. These terms were described in detail at the beginning of the paper and allowed me to more thoroughly understand the key points that the authors made. When explaining how certain parts of the Australian tax system function, the authors made analogies to compare the tax system in Australia to that of other countries, such as the United States. However, some words and terms that the authors used were not clearly defined in the text. Luckily, I have had experience with some of the vocabulary words that the author used, such as "tax burden” and "progressive income tax system". Although, When it came to terms like “marginal income tax”, I had to do further background research so that I could gain an in-depth understanding of what the authors were saying. The authors state, "at the end of 2012, the marginal income tax rate for a person on average weekly earnings had risen to 37%". This left me wondering what marginal income tax is, and why Australia’s marginal income tax had fluctuated so much; neither of these items were explained in the paper. I believe that an average reader, with very little tax or business knowledge, would be unfamiliar with a large majority of these terms. If I were the authors, I would more clearly define the terms that I commonly used throughout the

So, it is safe to assume a discount can be given, yet we cannot provide an exact figure as to how much.

Write an APA-formatted response of no more than 200 words for each the following questions:

The pool cost the petitioner over $19,000, and we cannot accept his contention that such amount was spent primarily for therapy for his leg in view of the limited need for such therapy and the alternatives which were then available.

Refer to Fact Pattern 17-1. Trina authorizes Roz to sell clothes at remote locations at prices that Liz negotiates in those locations. With respect to sales at those locations, Roz is

According to the IAS 19, paragraphs 133 and 134, entity should recognize termination benefits when company terminates the employment of employees before normal retirement date and company has detailed formal plan for termination. This plan should include the location, function and number of employees whose services are to be terminated. The entire $3 million should be recognized as termination benefits according IAS 19, paragraph 135. After Inter-Office Memorandum from December 27, 2010 (appendix B)

The first argument is supported from the Transport Workers Airlines Award 1988 similar to the case of Mallinson and Scottish Australian Investment Co Ltd 'where an employee tried to recover in the New South Wales District Courts the difference between the award rate and the lesser amount which he had been paid.'

18) Barbara sells a house with an FMV of $170,000 to her daughter for $120,000. From this transaction, Barbara is deemed to have made a gift (before the annual exclusion) of

Parent Corporation owns 85% of the common stock and 100% of the preferred stock of Subsidiary Corporation. The common stock and preferred stock have adjusted bases of $500,000 and $200,000, respectively, to Parent. Subsidiary adopts a plan of liquidation on July 3 of the current year, when its assets have a $1 million FMV. Liabilities on that date amount to $850,000. On November 9, Subsidiary pays off its creditors and distributes $150,000 to Parent with respect to its preferred stock. No cash remain to be aid to Parent with respect to the remaining $50,000 of its liquidation preference for the preferred stock, or with respect to any common stock. In each of Subsidiary’s tax years, less than %10 of its gross

Facts: Murray Taxpayer was previously employed by a company who was illegally dumping chemicals into a river. Murray had knowledge concerning these illegal activities of his employer and made an ethical decision to report this to the Environmental Protection Agency. Upon inspection, the Environmental Protection Agency determined that Murrays employer was in fact illegally dumping and was appropriately fined for the charges. Murray’s employer reacted to his whistleblowing by firing him and making deliberate efforts to prevent Murray from gaining employment elsewhere. Murray then sued his former employer for damaging

1. All distributions (excluding reasonable salary) to Paula and Mary will be taxed as dividends to them. And the corporation could not deduct this part of distribution.

. (TCO 2) Barry owns a 30% interest in a partnership that earned $300,000 this year. He also owns 30% of the stock in a C corporation that earned $300,000 during the year. The partnership did not make any distributions, and the corporation did not pay any dividends. How much income must Barry report from these businesses? (Points : 2)

FAS 123(R) 5 states that an entity should recognize services received in a share based payment transaction when those services are received. 10 states that an entity shall account for compensation cost from share-based payment transactions with employees in accordance with the fair-value-based method. Under the fair-value-based method, the cost of services received from employees in exchange for awards of share-based compensation shall be measured based on the grant-date fair value of the equity instruments issued. A10-A17 discuss the acceptable methods of calculating fair value at the grant date. The grant-date fair value of the Murray options is $6. Following the guidance in Illustration 4(a), Share Options with Cliff Vesting, of FAS 123(R), compensation expense for the years ended December 31, 2006 & 2007 is $200,000 per year (calculation attached hereto).

Remuneration is a reward for employment in the form of pay, salary, or wages, including allowances, benefits (such as company car). It can also be known as the compensation that one receives in exchange for the work or services performed. The two main types of employee remuneration are piece rate method and time rate method. Renumeration can motivate employees to be more productive but does not have to necessarily be compensation based as it can also be praise or recognition. Fringe benefits are a type of compensation, employers give to employees. Some common examples of fringe benefits include medical and dental insurance, use of a company car and staff meals and vacation pay. Two ways Nestle uses remuneration to achieve financial motivation for its workers is by providing company cars and providing 5 weeks annual leave which is one week more than usual

The organization for which I am designing the compensation package is a company that offers internet solution to customers in the domestic US market and the global market. The position that I am hiring is that of a company secretary. The secretary will be required to work in the office of the human resource manager and will handle all the papered and paperless documentation. The position comes with numerous benefits and packages as outlined herein.