Question

Principles of Advanced Taxation Planning

1. What payments would a company make this FBT year if it had a $5,200 FBT liability for the current year and they had a $5,000 FBT liability last FBT year?

In regards to question 1 please refer to the text book to assist you noting
that the first 3 quarters are based on last years amount and the final
quarter on the current years less what has been paid so the balance is
shown in the last quarter. Show each quarter this is not 1,300

2. Bonny Tyler receives the following in the current year:
Salary and wages $53,000
Fully franked dividends $4,500
Unfranked dividends $500
How much tax and Medicare will Bonny have to pay given she has private health insurance?

In regards to question 2 please review the imputation credit (review the course work to show how this is completed) once you
have completed this show the Taxable income then show the breakdown of tax
that would apply noting that you will need to then deduct the imputation
credit from this and show the final tax liability.

I have answered these questions but my instructor said that both the answers are wrong below the each answer are the comments of my teacher these were the answers

Short Answer Question 1: Bonny Tyler receives the following in the current year: Salary and wages $53,000 Fully franked dividends $4,500 Unfranked dividends $500 How much tax and Medicare will Bonny have to pay given she has private health insurance? She needs to pay only on Unfranked dividends as no Tax has been deducted by the company on the same so taxable in the hand of shareholders. Salary and wages are below the Taxable slab so not required to pay tax as she has Health insurance also. Franked dividends are nor taxable as the company deducted on the same.

Answer 1