Tax

 1)Prepare Emily Baff’s statement of taxable income and calculate her total tax liability (including Medicare Levy) for the year ending 30 June 2018. State all calculations and include any necessary explanatory notes and supporting schedules, applying legislation and case law. (15 marks) 

2)  Prepare a letter of advice outlining the tax consequences related to the legal fees incurred and the lump sum payment received by Emily in connection with the lawsuit for the year ending 30 June 2018, applying legislation and case law to support your letter. (15 marks)