Review of Final Grade In order to clarify any issues relating to the overall grade for the Course, Students are entitled to seek a review of their Final Grade for the Course after the publication of results in accordance with the Assessment Procedure Policy

part A need to b e done as p[er ILAC method with necessary cases.

LAW5230 Assignment Semester 3, 2017 Page | 1 LAW5230 Assignment Taxation Law Assignment Due date: 4 January 2018 Value: 40% Word Limit: 4,000 words (excluding calculations) This assignment consists of two (2) parts. Part A consists of a problem solving scenario (1,000 words) and Part B is a research assignment (3,000 words). You must complete both Part A and Part B. Pay careful attention to the marking criteria at the end of each Part. Part A Issue 1 Mrs Brown has been working in Australia in the child care sector as an early childhood educator from 2012. During the 2017 income year Mrs Brown worked as a casual employee with two different employers in the child care industry. She worked an average of between 25 and 30 hours per week and earned approximately $40,000 in wages during the 2017 income year. During 2015 and 2016 Mrs Brown became worried that as a casual worker she did not have job security, so she started looking at ways she might earn some more money and save for her retirement. Mrs Brown commenced buying shares in late 2015 utilising funds sourced from her savings of approximately $60,000 and a loan of initially $40,000. She used an online stockbroking service for all her share transactions. Mrs Brown purchased shares in banks and mining companies as well as some smaller listed companies. She held seven parcels of shares with a total value of approximately $50,000 as at 30 June 2016. During the 2017 income year Mrs Brown made: (a) 17 purchases to a value of $129,630.87 (b) 9 sales to a value of $75,019.76. The bulk of the transactions took place between July and December 2016. There were only six transactions in the second half of the financial year totalling a value of approximately $50,000. The gross dividends paid to Mrs Brown in the 2017 income year were $4,950.00. Mrs Brown made a small profit on her share transactions during the 2017 income year in the order of $12,000. Mrs Brown said that her investment strategy involved tracking the price of certain high quality shares and buying them whenever the price dipped down below a certain price range. She said that she would check the share price history and read the reports of analysts in financial newspapers and also watch “The Business” program on the ABC, before making purchases LAW5230 Assignment Semester 3, 2017 Page | 2 and sales. She would additionally discuss her strategy with her husband. She also said that the amount invested was based on her available funds. Mrs Brown usually spent 5 to 10 hours on research and share trading per week. She used a home office for researching and transacting shares. Mrs Brown stated that she had no written business plan but believed she was investing as an individual in a planned manner to earn some profit. Required: Discuss with reference to appropriate legislation, case law and/or rulings whether Mrs Brown is carrying on a business for taxation law purposes in either the 2016 or 2017 income years. Also discuss whether it makes any difference to the income tax treatment of the purchases and sales if Mrs Brown is carrying on a business. No calculations are required. Issue 2 Greg lives in Gladstone and carries on a workwear clothing business in the central business district. During the year ended 30 June 2017 he had the following transactions:  Greg received $24,000 on 28 September 2016 from the owner of a shopping centre in consideration for Greg opening a second store in the shopping centre in 2017 and signing a five-year lease. Another shopping centre had offered Greg $8,000 to lease a shop in an alternative shopping centre but Greg decided to accept the higher offer.  On 28 February 2017 the city council commenced roadworks outside Greg’s shop. As the roadworks took several weeks the city council compensated Greg $45,000 for the potential loss of profits caused by the temporary disruption to his business.  On 1 March 2017 Greg received $100,000 for signing a contract with a clothing company to only stock their brand of protective work clothing. From that date Greg cannot stock this style of clothing from any other suppliers.  On 30th June 2017 Greg received $5,000 in deposits for a new safety vest that was being released for sale on 5 July 2017. Greg had taken orders for the new vest but if it is not available as planned Greg will refund the money he has taken on deposit. Required: Based on this information what are the income tax consequences of the above transactions for Greg for the year ended 30 June 2017? Support your discussion with reference to legislation, case law and/or taxation rulings. LAW5230 Assignment Semester 3, 2017 Page | 3 LAW5230 – Taxation Law Semester 3, 2017 Assignment Marking Criteria Sheet PART A – Problem Solving Little attemp t F C B A HD Identification of legal issues, legislation and case law Overall the student has identified the relevant assessable income issues, legislation and where appropriate case law and rulings. 0 0.5 1 1.5 2 Application Demonstrated level of understanding of business income issues through the application of the identified law. 1 3 5 6.5 7.5 10 Demonstrated level of understanding of the ordinary income and trading stock issues through the application of the identified law. 1 3 5 6.5 7.5 10 Conclusions Overall, the student has drawn appropriate and valid conclusions after applying the law. 0 1 1.5 2 2.5 3 Total out of 25 Description of Performance Standards; HD – the student has shown a very high level of demonstrated ability in relation to the stated criteria by covering all valid points in a clear and succinct manner. The student may have also demonstrated an ability to think beyond the facts and recognise the broader implications of the facts, missing facts or alternate arguments. A – The student has show a high level of demonstrated ability in relation to the stated criteria by either covering all valid points or by covering the majority of valid points in a clear and succinct manner. The student may have very briefly or occasionally shown ability at the HD level. B – The student has show a good level of demonstrated ability in relation to the stated criteria by covering most of the valid points. The student may have made some minor incorrect statements or missed some minor points. C – The student has show a satisfactory level of demonstrated ability in relation to the stated criteria by covering the main valid points. The student may have made a number of minor incorrect statements but did make incorrect statements in relation to major points. F – The student has not shown a satisfactory level of demonstrated ability in relation to the stated criteria by missing some main points or by making incorrect statements in relation to major points. Little Attempt – The student has not addressed or attempted to address this criterion. LAW5230 Assignment Semester 3, 2017 Page | 4 Part B – 75 Marks (3,000 words) You are required to prepare a written research assignment that addresses one of the provided topics below. The purpose of the task is for you to demonstrate high level critical reflection and analytical reasoning skills in the context of the application of Australian taxation law and taxation law policy. You must undertake academic research which demonstrates the following:  An in-depth understanding of how the specific tax law applies,  The policy context of the law and if relevant how other jurisdictions deal with similar issues,  Critical reflection as to whether the law achieves its stated purpose, aligns with principles of good tax policy or could be improved/amended. These critical reflections should be supported by the research you have undertaken as well as your own independent thought. Topic Choices 1. Australia’s Self-Assessment System  Briefly outline the self-assessment tax system used in Australia;  Discuss and critically evaluate the extent to which Australia’s selfassessment encourages individuals to comply with the taxation legislation;  Critique whether you think it is effective in obtaining taxpayer compliance or whether other techniques should be adopted. 2. Work-related allowable deductions  Briefly outline the Australian tax law for work-related deductions;  Discuss and critically evaluate the extent to which Australia’s deduction regime for individual taxpayers satisfies the principles of a good tax system;  Compare and contrast this with the deduction system in another jurisdiction, for example, New Zealand. 3. Negative Gearing  Briefly outline what is meant by negative gearing and how the Australian tax system treats negatively geared investments;  Discuss and critically evaluate the extent to which tax deductible negative gearing impacts upon savings and investment decisions;  Evaluate whether negative gearing from a tax perspective should be removed. 4. Company tax rate  Briefly outline the company tax base and rate in Australia;  Discuss and critically evaluate the Federal Government’s policy of lowering the company tax rate to 25%;  Discuss potential advantages and disadvantages and any alternative policies. Continued over page LAW5230 Assignment Semester 3, 2017 Page | 5 5. Small Business Concessions  Briefly outline the Small Business CGT Concessions in Australia;  Discuss and critically evaluate the Small Business CGT Concessions in Australia, including the overall policy objectives and your evaluation of whether regime currently meets these objectives;  Make conclusions as to whether further amendments are necessary. LAW5230 Assignment Semester 3, 2017 Page | 6 LAW5230 Part B – Research Assignment Criteria Little attempt F C B A HD Demonstrated technical understanding of the chosen tax law topic. No/little attempt made in relation to this criterion 1 Very little technical understanding of the legal topic demonstrate and/or many instances of incorrect understanding. 4 Sound technical understanding of the legal topic demonstrated with some instances of incorrect understanding. 7.5 Good technical understanding of the legal topic demonstrated, with few instances of incorrect understanding. 10 High level technical understanding of the legal topic demonstrated, with no/very few instances of incorrect understanding. 12 Very High level technical understanding of the legal topic demonstrated, no instances of incorrect understanding. 15 Ability to analyse and present practical applications of the law in the context of the overall paper, rather than simply describe the law. No attempt made in relation to this criterion. 0 Did not demonstrated an ability to explain tax law concepts in the context of how it is relevant to practical applications. 3 Demonstrated sound ability to explain tax law concepts in the context of how it is relevant to practical applications in some instances. Some insightful and relevant applications made. 6 Demonstrated a good ability to explain tax law concepts in the context of how it is relevant to practical applications in some instances. Practical applications were mostly insightful and relevant. 7.5 Demonstrated a very good ability to explain tax law concepts in the context of how it is relevant to practical applications in many instances. Practical applications were mostly insightful and relevant. 9 Demonstrated an excellent ability to explain tax law concepts in the context of how it is relevant to practical applications in all instances. Practical applications were insightful and relevant. 12 Ability to demonstrate critical reflection on the topic researched incorporating independent thought and ability to critically analyse research presented. No/little attempt made in relation to this criterion 1 Insufficient evidence of effective analysis, balanced evaluation, personal perspectives made. 4 Few instances of careful analysis of the research. Limited ability to balance and evaluate competing arguments in the literature and/or limited articulation of personal perspectives throughout paper. 7.5 Some evidence of careful analysis of the research. Some instances of an ability to balance and evaluate competing arguments in the literature as well as some personal perspectives throughout paper. 10 Evidence and multiple instances of careful analysis of the research. Evidence of an ability to balance and evaluate competing arguments in the literature as well as clearly articulated personal perspectives throughout paper. 12 Strong evidence and multiple instances of careful analysis of the research. Strong evidence of an ability to balance and evaluate competing arguments in the literature as well as clearly articulated personal perspectives throughout paper. 15 Ability to demonstrate independent, high quality research. No/little attempt made in relation to this criterion 1 Little evidence of quality and independent research. Many major sources overlooked. Very few sources from outside course materials. 4 Some evidence of careful, relevant, quality and independent research undertaken. Many major research sources/authors overlooked. A few sources from outside course materials. 7.5 Evidence of careful, relevant, quality and independent research undertaken. Few major research sources/authors overlooked. Some sources from outside course materials. 10 Evidence of careful, relevant, high quality and independent research undertaken. No major research sources/authors overlooked. Many sources from outside course materials. 12 Evidence of careful, relevant, high quality and independent research undertaken. No research sources/authors overlooked. Many sources from outside course materials and all high quality. 15 LAW5230 Assignment Semester 3, 2017 Page | 7 Overall clarity of expression, use of grammar and appropriateness of the language and terminology for an academic research paper. No/little attempt made in relation to this criterion 1 No instances of sophisticated and academic language used. Many instances of incoherent. Lacks readability. 2 Few instances of sophisticated and academic language used. Somewhat clear and readable expression used throughout. Many instances of unclear expression. 3 Mostly sophisticated, clear and readable expression used throughout. Moderately academic language used throughout. Few instances of unclear expression. 4 Some sophisticated language, but otherwise, very clear and highly readable expression used throughout. Appropriate academic language used throughout. 5 Sophisticated, clear and highly readable expression used throughout. Very appropriate academic language used throughout. 6 Clear and logical structure, development of clear arguments, supported conclusions reached. No/little attempt made in relation to this criterion 1 Very little persuasive argument used in paper. Little structure or flow. Many inconsistent / unsupported conclusions reached. 2 Somewhat persuasive argument built throughout paper. Some structure presented, though paper may have some flow problems, or inconsistent / not well supported conclusions presented. May have some inconsistencies. 3 Moderately persuasive argument built throughout paper. Clear structure resulting in some supported conclusions/ recommendations with few inconsistencies. 4 Persuasive argument built throughout paper. Clear and logical structure resulting in some well supported conclusions/ recommendations. 5 Highly persuasive argument built throughout paper. Very clear and logical structure resulting in well supported conclusions/ recommendations. 6 Ability to use chosen referencing method appropriately and correctly No/little attempt made in relation to this criterion 1 Inability to use chosen referencing method appropriately and correctly. Inconsistent and fundamental errors. 2 Acceptable standard of referencing, citations and bibliography. Some fundamental errors. 3 High standard of referencing, citations and bibliography. Some minor errors. 4 Very high standard of referencing, citations and bibliography. Very few errors. 5 Very high standard of referencing, citations and bibliography. Almost no errors. 6 Total out of 75 TOTAL (out of 75) General Comments END OF ASSIGNMENT Guide to Completing the LAW5230 Assignment Guide to Completing the LAW5230 Assignment Awarding of Marks The assignment will be graded according to the criterion referenced assessment sheet included with the assignment questions. You should review this document carefully. Students are encouraged to grade their own work against the criteria sheet in order to identify areas for improvement. Your assignment consists of a combination of legal problem questions and a written research question. In both cases, marks are generally awarded on the basis of your identification/discussion/analysis of all relevant issues with arguments logically constructed leading to supportable conclusions. You will not be specifically penalized for reaching a different conclusion to the conclusion that may appear in the suggested solution to the assignment. We expect that you will use appropriate reference to authorities in your discussion. Where calculations are involved you will receive marks on the basis of your calculations and part marks will be awarded where only part of the calculation is correct. In completing your assignment you must distinguish between relevant and irrelevant material and edit the latter from your answer. An answer or an advice to a client which only contains relevant material convinces the marker or client that the author is sufficiently knowledgeable of the subject to be able to exclude irrelevant considerations and material.  Commence work on your assignment, well in advance of the due date. I suggest you read the assignment prior to commencing your study of the course. While you may not have covered all the relevant material to answer all the assignment at that stage an awareness of the issues raised in these assessment items will assist you in focusing your study.  Answer the questions set and only the questions set. Do not introduce irrelevancies or matters which are at best marginally relevant.  Do not paraphrase legislation, use direct quotes if it is critical, otherwise say why it applies.  There will usually be some specific section(s) of the Act relevant to the problem/issue, these should be cited correctly. The same applies to cases and taxation rulings.  Only cite the facts of a case if you wish to distinguish it. If you do not wish to distinguish the case refer to the principle established by the case and put the name of a relevant case in parentheses ( ) after referring to the relevant principle. It may disrupt the flow of your analysis or problem solving exercise to digress into a discussion of the facts of a particular case.  After typing the assignment always edit the work.  You must be able to prove you have submitted an assignment so ensure that you retain evidence of submitting it for example your confirmation email. The assignment in this course is reasonably complex so I suggest that you commence working on it early. Do not leave it to the last minute. You will be able to complete the assignment progressively over the semester as the case studies are designed to enable you to complete once you have finalised your study of part of the course. Plan your time well and you are unlikely to run into problems with being late. Referencing In written work, citations or footnotes in the text are used to inform your reader of the source of your information. Direct quotations are always cited. Not only is this a courtesy to the original author, it would be considered plagiarism if you failed to do so. Guide to Completing the LAW5230 Assignment If you are enrolled in the Bachelor of Laws or Juris Doctor program, you must use the Australian Guide to Legal Citation (AGLC) when referencing in your law courses. If you are studying a law course that is not part of a law degree, for example as an elective or as a Business or Commerce student, you may use either the Australian Guide to Legal Citation or Harvard AGPS Style. Whatever style you choose, you must be consistent in your approach. To help you get started have a look at the presentation Referencing with the Australian Guide to Legal Citation and the Overview of Australian Guide to Legal Citation table. The Australian Guide to Legal Citation is published by the Melbourne University Law Review Association. It is available to download free from the University of Melbourne, however you can not print from the guide. Print copies of this guide are available for loan in the USQ Library at 808.06634 Aus. The AGLC provides in-depth information on referencing primary and secondary legal material, including examples. You can access information on referencing at: http://www.usq.edu.au/library/referencing/australian-guide-to-legal-citation Specific Tips for the Research Task The purpose of the written research task in the assignment is for you to demonstrate high level critical reflection and analytical reasoning skills in the context of the application of taxation law and taxation law policy. You will be asked to choose a particular aspect of taxation law and undertake academic research which demonstrates both your understanding of how the law applies, the policy context of the law and critical reflection (as supported by the research you have undertaken). In demonstrating your ability to undertake this high level critical reflection you should utilise the following resources (list not exhaustive): – Relevant government policy documents such as Reviews or White Papers – Hansard – Explanatory Memorandum and Second Reading Speeches. – High quality academic journal articles. – Other commentator views (appropriately referenced). – Sources as listed above from other jurisdictions which might be relevant in making your argument. Remember that marks are allocated to the quality of the research presented in the assignment, therefore you need to demonstrate you have gone beyond the course materials and texts presented. When undertaking a piece of academic writing you should ensure there is a logical flow and appropriate structure. Your writing should build up an argument using your research as support for that argument and come to a logical conclusion based on those arguments. This conclusion might contain suggestions for future policy changes, amendments to legislation or administration practices. You might like to use subheadings to increase the readability and flow of your paper. You also might like to include simple worked examples to highlight applications of the law in various circumstances (worked examples would not be included in the word count). Read the criteria for this aspect of the assignment carefully. At the Masters level, your writing style should be of high quality therefore proofreading is highly recommended. Marks are allocated for the quality of writing, referencing and presentation as well as for content related items. Guide to Completing the LAW5230 Assignment Specific Tips for Taxation Problem Questions Below are some specific tips and examples of good and poor approaches to case studies and problem solving in taxation. Issue State the specific issue. Don’t use “Whether the amount is deductible under s8-1” More specific examples: “Whether the amount is deductible under s8-1 or a one-off capital payment and therefore non-deductible…” “Whether the amount is deductible under s25-10 as a repair or whether it is a nondeductible capital improvement” These examples are more specific and allow you to find the correct area of law more quickly. Law Only list the law most relevant to the facts. If you are not going to apply a case in your application, then don’t list it here. For example, if your issue is about repairs and the specific issue is whether it is an improvement, you don’t need to apply cases about initial repairs or replacement of entirety as these aren’t relevant. Application You must apply the cases and legislation you have listed above to the facts in your scenario. So, you must make statements like; In the facts, the taxpayer paid an amount of…..this is similar to the case of ….where the court held that…. In the case of……the court held that …..because the taxpayer in that case….. In these facts the taxpayer has also…..therefore the decision in the case would be relevant. Element one of section…..has been satisfied in the facts because the taxpayer……  Please DO NOT cite the Study Book or Solutions book in your application. The idea of this assignment is that you are applying case law and legislation in your own words to the facts. If you have used a solution or the study book to gain a better understanding of an issue, that’s fine, but you application to the facts should always be in your own words! Conclusion Restate your issue and answer the question you stated in the issue. Your conclusion must be consistent with what you have argued in your application, otherwise it will not make sense. For example if you have used cases in your application which suggest an amount is assessable, your conclusion must state this. Guide to Completing the LAW5230 Assignment General Assessment Guidelines Word length 1. The word count should be conducted in accordance with a Microsoft Word count (not including footnotes or endnotes). This limit does not include footnote references (to cases, legislative provisions, books, articles and websites). However, the word limit does include text set out in the footnotes ie the word limit cannot be circumvented by relocating text from the body of the answer to the footnotes, or by placing text in the footnotes in the first place. 2. You must indicate this word count for the assignment on the title page of the assignment. 3. The word limit is a definite maximum. The marker of the assignment is entitled to stop marking when the nominated assignment word length has been reached. Any material in excess of the assignment word length need not be included in the marking. It is not the case that a 10% variation is allowed for the word limit: ie that students can exceed the word limit by 10%, or fall short of the word limit by 10%, without being exposed to a penalty. The word limit is a maximum limit only. There is no minimum word length for the assignment, although students should appreciate that, the less that they write, the greater the likelihood that the assignment question has not been answered as well as it could be. Extensions  Submission by due date. Assignments must be submitted by the due date or an approved extension date. If an assignment is submitted after the due date or an approved extension date, then the course leader may apply the penalty applicable to late submissions in accordance with the policy on late submissions: http://policy.usq.edu.au/documents/14749PL  Approved extension date. An approved extension date is one given in writing (including email) by the course leader.  Applications for extension. A student who wishes to apply for an extension must make the application in writing (and may do so by email) to the course leader and this application must be before the assignment due date.  Conditions for an extension to be granted Extensions are usually granted only in cases of Compassionate and Compelling Circumstances in accordance with the Assessment of Compassionate and Compelling Circumstances Procedure: http://policy.usq.edu.au/documents/131150PL  Documentation. The application to the course leader must be accompanied by appropriate supporting documentation. In particular, where an extension is sought on the ground of illness, a medical certificate must be supplied with the application. In other circumstances, the course leader may specify the kind of supporting documentation that is required.  Copy of approved extension must be attached to assignment. Students submitting an assignment after the due date but with an approved extension must attach the course leader’s written approval (which, if given by email, is a copy of the email to the student) to the submitted assignment. Guide to Completing the LAW5230 Assignment Late submissions An Assignment submitted after the deadline without an approved extension of time will be penalised. The penalty for late submission without a pre-approved extension will be specified in the assignment instructions. At the very least, the penalty for late submission is a reduction by 5% of the maximum Mark applicable for the Assignment, for each University Business Day or part Business Day that the Assignment is late. An Assignment submitted more than ten University Business Days after the deadline will have a Mark of zero recorded for that Assignment. How to Submit You are required to submit the major assignment electronically using StudyDesk for the course. Please ensure that before saving and submitting, you include a title page at the beginning of your assignment which includes the following information:  full name and student number  name of course  name of course leader  assignment number  word count. Do not submit your assignment twice! If you have submitted your electronic assignment successfully, please do not post or email another version. You will receive an email notification once your assignment is received successfully, therefore please ensure your email address on USQConnect is correct and up-to-date. Please also read the instructions on the Study Desk in relation to the use of Turnitin with this assignment. Reconsideration of marks in the major assignment (not CMA tests) When is reconsideration available? All care is taken in the marking of the major assignment and each assignment mark is moderated to check for completeness and consistency by the course leader prior to the marked assignment being uploaded and returned to you. Individual mark sheets based on the criteria will be returned with each assignment submitted by a student. Once a mark is allocated to an assignment, the only ground on which it will be reconsidered is that the student has shown in writing that –  The marking criteria have not been legitimately applied to that particular assignment  A legitimate application of all of the criteria to that assignment would lead to a higher mark. No right to a second marking and moderation There is no right to a second marking of an assignment. Again, it is only in the circumstances above that a reconsideration of a mark will be undertaken. Also, in accordance with the Assessment Procedure Policy (4.3.3) moderation of assessment is undertaken in relation to all grades in the course once those grades are finalised and recommended. There is no moderation of individual assignments. Ie, moderation is not second marking. Guide to Completing the LAW5230 Assignment Procedure If you are unhappy with a mark on an assignment, you are advised: (1) to consider the mark sheet returned with the assignment; (2) to consider any comments made by the marker about the assignment; (3) review in detail the suggested solution; and (4) to mark the assignment yourself using all of the marking criteria. Then, you should only consider applying for reconsideration if it is clear that the marking criteria have been applied incorrectly to your overall disadvantage. Eg, you may have reasons to suggest that, for Issue 1 in case study 1, if applied correctly the criterion would give you one more mark but that your answer to Issue 2 would lead to two marks being taken off. It is best not to ask for reconsideration in a case like that. However, where you have reasons to believe that, if all of the criteria were applied correctly, a higher mark would clearly result, you should email the course leader with:  Your marked assignment;  The marking sheet;  Written reasons that explain how, if all of the criteria had been applied correctly, the overall mark would have been higher. In relation to the last, an assertion that ‘criterion X was not applied properly’ – with nothing more – is not giving reasons. Irrelevant considerations The following reasons (or words of similar effect) are not grounds for reconsideration –  I don’t like the mark.’ (An acceptable motive to seek reconsideration, but not in itself a reason.)  I am two marks from the cut-off for a B, and I would like a B for the course.’  I got a better mark in [another assignment in the course]’ or ‘I got a better mark in [another course]’.  I put a lot of effort into this assignment’.  This is a failing mark, and I don’t like to fail [or I don’t normally fail]’ or ‘I am an HD and A student’.  I worked with [another student], and she got [a higher mark]’. (Also a dangerous reason to give!)  I know [an influential person]’. In short, the only grounds justifying reconsideration are those in listed above, and anyone seeking reconsideration is best to limit any submissions to stating reasons that establish those grounds. Review of Final Grade In order to clarify any issues relating to the overall grade for the Course, Students are entitled to seek a review of their Final Grade for the Course after the publication of results in accordance with the Assessment Procedure Policy (4.3.14). http://policy.usq.edu.au/documents/14749PL


 

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