QUESTION 1: 20 marks, 20% of the subject

Advise your client on how the following items will be treated for tax purposes under Australian tax law:

i. Webjet frequent flyer points received by a business analyst employed by a large business consultancy firm in relation to work related travel paid for by the firm

ii. amounts received by a crane hire company from its customers for a damaged crane

iii. a free overseas holiday received by a nightclub manager from an alcohol supplier

iv. the return to its members of excess funds raised by a canoe club for the purchase of additional canoes

v. a payment made by a television station to an Australian footballer for being named the best and fairest in the AFL

vi. Expenses relating to a building qualification for a building apprentice

vii. Expenses relating to a short course in art management in the hope of becoming an art director

viii. Expenses relating to work make-up and work dresses

ix. Expenses relating to travel between home and office

x. Expenses relating to travel between one employer and another employer