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A) A property company is preparing the Information of Memorandum to sell their property that...

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Accounting

A) A property company is preparing the Information of Memorandum to sell their property that they acquired in 2016. The company has asked you to calculate the capital gain tax that they will be paying if they sold the property this year. The company expects to receive net sale proceeds of $7,500,000 and paid $4,944,508 to purchase the property including acquisition costs. The company has done additional capital expenditure this year of $238,878 to refresh the appearance of the building. The company want to ensure that they have included all deductions to minimise their tax payable this year and has asked your advice to ensure they claim everything that they are entitled to. Please answer below questions.

How much capital gains tax is the company liable for if they can receive net sales proceed as mentioned above? Assume a 30% company tax rate.

B) This year the companys taxable income is $225,935. How much additional tax payable this year for the company?

C) How much total tax payable this year for the company and show the calculation how you get the answers for additional tax and total tax questions.

D) List six possible deductions for tax purposes that the company can include to minimise their tax payable this year.

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