Divanee is a Neurosurgeon at the local hospital. However, the long hours have been very draining, and she has decided to take a leave of absence from the hospital and pursue her interest in blending coffee beans to find the perfect taste. She has incurred the following expenses: a) Payment of $5,000 to the Australian Society of Neurosurgeons (Divanee has decided to maintain her membership during her leave of absence in case she decides to go back to work as a surgeon); b) Donation of $500 to Medecins Sans Frontières (a registered Deductible Gift Recipient); c) Donation of $1,000 to her local neighbourhood community house (a registered Deductible Gift Recipient). All donors are permitted to book the function room in the house for free up to 3 times per year. The normal booking fee would be $250; d) She paid $500 for Newspapers which covered some health-related information; and e) Travel cost $2,500 to attend a global conference in London. Advise Divanee as to her income tax consequences arising out of the above information.
Divanee is a Neurosurgeon at the local hospital. However, the long hours have been very draining, and she has decided to take a leave of absence from the hospital and pursue her interest in blending coffee beans to find the perfect taste. She has incurred the following expenses: a) Payment of $5,000 to the Australian Society of Neurosurgeons (Divanee has decided to maintain her membership during her leave of absence in case she decides to go back to work as a surgeon); b) Donation of $500 to Medecins Sans Frontières (a registered Deductible Gift Recipient); c) Donation of $1,000 to her local neighbourhood community house (a registered Deductible Gift Recipient). All donors are permitted to book the function room in the house for free up to 3 times per year. The normal booking fee would be $250; d) She paid $500 for Newspapers which covered some health-related information; and e) Travel cost $2,500 to attend a global conference in London. Advise Divanee as to her income tax consequences arising out of the above information.
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter11: Individuals As Employees And Proprietors
Section: Chapter Questions
Problem 29P
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Question
Divanee is a Neurosurgeon at the local hospital. However, the long hours have been very draining, and she has decided to take a leave of absence from the hospital and pursue her interest in blending coffee beans to find the perfect taste. She has incurred the following expenses:
a) Payment of $5,000 to the Australian Society of Neurosurgeons (Divanee has decided to maintain her membership during her leave of absence in case she decides to go back to work as a surgeon);
b) Donation of $500 to Medecins Sans Frontières (a registered Deductible Gift Recipient);
c) Donation of $1,000 to her local neighbourhood community house (a registered Deductible Gift Recipient). All donors are permitted to book the function room in the house for free up to 3 times per year. The normal booking fee would be $250;
d) She paid $500 for Newspapers which covered some health-related information; and
e) Travel cost $2,500 to attend a global conference in London.
Advise Divanee as to her income tax consequences arising out of the above information.
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