BTC 3150 Taxation Law Assignment Questions S1, 2025 | Monash University

BTC 3150 Marking/Grading Criteria: 

Grading will be based on the Rubric, including the consideration how well you have: 

1. Identified the correct tax law issues; 
2. Explained and applied the correct law, including use and discussion of relevant cases and legislation; 
3. Analysed the fact situation in light of the relevant tax law; 
4. Reached a conclusion based on your analysis, and showed calcs where needed; 
5. Structured your response including attention to writing style, spelling and grammar; and 
6. Followed instructions on referencing and overall presentation

The Assignment has Three Parts. All Parts are expected to be attempted. 

Part One: Short Answer Questions worth a total of 14 marks; 
Part Two: Problem Style Question worth a total of 6 marks; and 
Part Three: Problem Style Question (that includes some calculations) worth a total of 10 marks.

BTC 3150 PART ONE:

1. What is an ecotax? Do you think the policies of Trump administration are likely to favour such taxes globally? Briefly provide your own view about having such taxes, arguing at least one reason (a brief answer not exceeding 1-2 paras is desired; both for or against arguments are fine; also, any online or physical source beyond the textbook could be relied upon as long as it is acknowledged and cited properly) (2 marks)
2. Alpha, Bravo, Charlie ("ABC") Ltd, a data centre specialist company engaged in creating iCloud platform, is incorporated and head quartered in Malaysia. Fifty percent of its voting power is controlled by Australian resident shareholders. In the 2023-24 financial year, the company carried out its business activities in Malaysia, Indonesia, and Singapore. In the following year 2024-25, ABC Ltd extended its business activities to New Zealand and Australia.
   Citing relevant legislation and case law, advise ABC Ltd of its tax residency in Australia for the two financial years in question. (4 marks)
3. In 2017, Pascal Bruno purchases a vacant land of 3,000 yards for $900,000 in the Cranbourne area. Pascal plans to build a home for himself and family on part of the land comprising 800 yards. His plan also includes building a few shops on the remainder of 2,200 yards land that faces a growing commercial area. Pascal builds a home but before he could materialise his plan to build shops, there is a pandemic outbreak and the availability of long-term labour force becomes difficult.

In 2021, the local city council contacts Pascal to buy the 2,200 yards land for the purpose of setting up of a multistory car parking. The council offers Pascal an amount of $1.8 million if he can organise fencing and proper access roads to the land. Pascal agrees and gets the desired work done in 2022 by spending $200,000.

Citing relevant legislation and case law, advise Pascal whether $1.8 million from the sale of land would constitute ordinary income. (5 marks)

BTC 3150 PART TWO (6 marks) 

Ying Yu Chan, registered for GST, runs a business "Chan Trade and Services". During the quarter ending 31 March 2025, Ying made supplies from three sources as follows: $33,000 from providing accounting services; $15,000 from share trading; and $16,150 from the sale of accounting-related software. 

In the same period, Ying also made the following purchase: a mobile phone worth $2,750 (incl GST), used equally for business and personal purposes; and two laptops worth $5,500 (incl GST) for business use only. 

Citing relevant legislation, and showing relevant calculations, advise Ying of their GST consequences (where relevant, supplies are GST inclusive).(6 marks)

BTC 3150 PART THREE (10 marks) 

Pamela Patterson works as a Senior Machine Learning Engineer for a firm "Auto Solutions" in Melbourne. In 2024, a Sydney-based tech-company "Robo Wonders" offers Pamela a lucrative position as head of their machine learning team. Pamela accepts the offer and relocates to Sydney. 

Before relocating to Sydney, Pamela disposes of the following assets in Melbourne.

At the time of quitting her position with the Auto Solutions, Pamela enters into an agreement with the firm, which binds her to keep the software designs of Auto Solutions confidential for next five years. In exchange for maintaining the confidentiality, Pamela receives $100,000. Further, as per agreement, Auto Solutions would also seek Pamela's advice twice a year for next five years and pay her $10,000 per year for the advice. Pamela also has a brought forward capital loss from the previous years which includes $10,000 from the sale of shares and $2,000 from the sale of a medallion.