Weekly Quizes Flashcards
Which of the following is a characteristic of income?
A. Income is something that is saved from going out B. Income is something that is convertible to money C. Income is something that is money or money’s worth D. Income includes a receipt of capital
C
Which of the following statements is NOT true about this course?
A. To receive marks for Section B of each Tutorial Assignment, you must attend the Tutorial and provide a printed hard copy of Section B to the Tutor B. You are expected to complete the suggested readings prior to each lecture C. Lecture recordings will be released immediately after each lecture D. The best 10 of 11 Weekly Quizzes count towards the final grade
C
Which of the following is not considered Excluded income?
A. Fringe Benefits B. Employer’s Superannuation Contributions C. Government Grants D. Reimbursements amounts paid to employees
D i think?
A taxpayer’s assessable income is an amount of income that is not
A. Non-resident’s foreign sourced income B. Exempt Income C. Excluded Income D. All the above
D
Which of the following is part of a taxpayer’s “assessable income”?
A. Accommodation provided to an employee B. An amount received from selling the taxpayer’s private boat C. An amount received from an inheritance D. None of the above
If an individual is a transitional resident, which income source will NOT be exempt income?
A. Interest paid on a bank account in Australia
B. A dividend paid by a company resident in Australia.
C. Salary earned from working in Australia.
D. All these income sources will give rise to exempt income.
C
Which of the following amounts of income is New Zealand sourced income:
A. Business income derived by a New Zealand resident from a business carried on in Australia.
B. Income from a contract a New Zealand resident entered in New Zealand and perform wholly in Australia.
C. Interest earned by an Australian bank on money lent to a New Zealand resident to acquire an apartment on the Gold Coast.
D. All these amounts are New Zealand sourced income.
C
An individual will be tax resident in New Zealand if the individual:
A. Has a home in New Zealand.
B. Has New Zealand citizenship or permanent residency.
C. Has a place of abode in New Zealand.
D. Has a permanent place of abode in New Zealand.
D
Which of the following companies is tax resident in New Zealand?
A. Company A, which was incorporated in New Zealand.
B. Company B, which was incorporated in Australia, but has its head office in New Zealand.
C. Company C, which was incorporated in Hong Kong, but it is controlled by New Zealand resident
directors.
D. All these companies are tax resident in New Zealand
D
A taxpayer’s assessable income is an amount of income that is not
A. Non-resident’s foreign sourced income
B. Exempt Income
C. Excluded Income
D. All the above
D
A taxpayer’s assessable income is an amount of income that is not
A. Non-resident’s foreign sourced income
B. Exempt Income
C. Excluded Income
D. All the above
D
Which of the following is not a characteristic of income?
A. Income is something that comes in.
B. Income is something that is money or money’s worth.
C. Income is something that is saved from going out.
D. Income is something that is income under Part C of the Income Tax Act 2007.
C
In the absence of a specific provision permitting a deduction, a person is allowed a deduction for:
A. Expenditure the person incurs in deriving income.
B. Expenditure incurred in carrying on a business to derive assessable income.
C. Expenditure the person incurs in carrying on a business to derive assessable income.
D. Expenditure the person incurs in carrying on a business to derive assessable income for which a deduction is not denied by a General Limitation.
D
A tax charity operates a business of selling second-hand clothes, the clothes it sells are donated and all its workers are volunteers. However, it incurs expenditure on rent and electricity. Is the charity allowed a deduction for this expenditure?
A. Yes, because it is incurred in carrying on business to derive assessable income.
B. Yes, because it is incurred in carrying on business to derive assessable income and is not capital in nature.
C. No, because the exempt income limitation denies a deduction.
D. No, because the expenditure is capital in nature.
C
A tax year is
A. The 12-month period commencing 1 June and ending on the following 30 June
B. Any 12-month period
C. The 12-month period commencing 1 April and ending on the following 31 March
D. The 12-month period that commences on a day the taxpayer elects
C
Which of the following amount of income is not derived?
A. An amount of cash received by a supermarket for the sale of groceries
B. An amount of cash received as a refundable deposit for service yet to be performed
C. An amount of interest credited to a bank deposit
D. An amount for the sale of goods credited against a debt the seller of the goods owes the purchaser
B
