HI6028 Taxation Theory, Practice & Law Assignment Help

Question 6 (7 marks)

(Note this question is from the Topic 12 Lecture: Trading Stock, Partnerships, and Trust)
Ryan, Maria and Mike are partners in a law firm. The partnership earned $1,200,000 net profit during the financial year ending 30 June 2020 and did not pay any salary to any of the partners during the year. On 1 July 2019, Maria loaned $100,000 to the partnership and received $10,000 interest from the partnership over the 2019/2020 fiscal year, which is already considered in calculating partnership earning for the year. Meanwhile, Maria also earned $200 from gambling. Allowable deductions for Maria during the year consist of $300 paid for allowable professional subscriptions. Calculate net tax liability for Maria (Use tables for your answers, no narration is acceptable and allowed for this question, no case or sections of law are required to be mentioned, only provide calculations please, ignore Medicare Levy and Medicare Levy Surcharge for this question).
(7 marks. Word limit: minimum 120 to maximum 150 words)