1.Provide a detailed answer to the following questions including references to the relevant provisions in the ITAA 1997 and any ATO issued interpretive guidance: a. what are the 5 elements of the cost base and reduced cost base of a CGT asset? s the cost base of a CGT asset subject to any type of modification ? what makes up the copital proceeds of a CGT asset?
1.Provide a detailed answer to the following questions including references to the relevant provisions in the ITAA 1997 and any ATO issued interpretive guidance: a. what are the 5 elements of the cost base and reduced cost base of a CGT asset? s the cost base of a CGT asset subject to any type of modification ? what makes up the copital proceeds of a CGT asset?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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1.Provide a detailed answer to the following questions including references to the relevant provisions in the ITAA 1997 and any ATO issued interpretive guidance: a. what are the 5 elements of the cost base and reduced cost base of a CGT asset? s the cost base of a CGT asset subject to any type of modification ? what makes up the copital proceeds of a CGT asset? Are the capital proceeds subject to any modifications?
2.Which of the following items forms part of the assessable income of an Australian resident taxpayer (under any provisions, but not the CGT provisions). Give brief reasons for your answers
a. A table purchased at a garage sale for $80 and sold for $250.
b. 500 shares in a company allotted at a price of $1 each to an employee of the company. At the time of issue, shares of the company were being traded on the stock exchange at $1.50 but at the end of the year of income their price had dropped to $0.90
c. A prize in a literary competition won by a journalist.
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