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1. A resident of Australia for tax purposes had taxable income of \( \$ 200,000 \) during the year of \( 2021 / 2022 \). Calculate the tax liability (disregard any tax offsets and levies).

User Wjv
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2 Answers

2 votes

Answer:

$63,929.

Step-by-step explanation:

To calculate the tax liability for an Australian resident for tax purposes with a taxable income of $200,000 during the year of 2021/2022, we need to use the Australian tax rates for that income year.

The tax rates for residents for the 2021/2022 income year are as follows:

  • 0% on the first $18,200 of taxable income
  • 19% on taxable income between $18,201 and $45,000
  • 32.5% on taxable income between $45,001 and $120,000
  • 37% on taxable income between $120,001 and $180,000
  • 45% on taxable income over $180,000

To calculate the tax liability, we need to determine the amount of taxable income that falls within each tax bracket and apply the relevant tax rate.

For a taxable income of $200,000, the tax liability can be calculated as follows:

  • $18,200 at 0% = $0
  • ($45,000 - $18,201) at 19% = $5,092
  • ($120,000 - $45,001) at 32.5% = $29,467
  • ($180,000 - $120,001) at 37% = $20,370
  • ($200,000 - $180,000) at 45% = $9,000

Therefore, the total tax liability for an Australian resident for tax purposes with a taxable income of $200,000 during the year of 2021/2022 is $63,929.

Note that this calculation disregards any tax offsets and levies that may apply.

User Raju Ahammad
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3 votes

Answer:

$90,000

Step-by-step explanation:

To calculate the tax liability for a resident of Australia for the year 2021/2022 with a taxable income of $200,000, we need to determine the applicable tax rates and brackets. For the year 2021/2022, the tax rates for individuals in Australia are as follows: - 0% tax rate for income up to $18,200 - 19% tax rate for income between $18,201 and $45,000 - 32.5% tax rate for income between $45,001 and $120,000 - 37% tax rate for income between $120,001 and $180,000 - 45% tax rate for income above $180,000 Now, let's calculate the tax liability step-by-step: 1. Determine the tax payable for each tax bracket: - For the first tax bracket (0% rate): No tax is payable since the income falls below $18,200. - For the second tax bracket (19% rate): The income between $18,201 and $45,000 is subject to a 19% tax rate. In this case, there is no income falling into this bracket, so no tax is payable. - For the third tax bracket (32.5% rate): The income between $45,001 and $120,000 is subject to a 32.5% tax rate. In this case, there is no income falling into this bracket, so no tax is payable. - For the fourth tax bracket (37% rate): The income between $120,001 and $180,000 is subject to a 37% tax rate. In this case, there is no income falling into this bracket, so no tax is payable. - For the fifth tax bracket (45% rate): The income above $180,000 is subject to a 45% tax rate. In this case, the entire taxable income of $200,000 falls into this bracket. Therefore, the tax payable for this bracket is $200,000 * 0.45 = $90,000. 2. Calculate the total tax liability by summing up the tax payable for each tax bracket: - Tax payable = $0 + $0 + $0 + $0 + $90,000 = $90,000 Therefore, the tax liability for a resident of Australia with a taxable income of $200,000 for the year 2021/2022 is $90,000

User GGirard
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