MLC301 Principles of Income Tax Law - Question/Answer

Question 1 (4 points)

Briefly explain whether the following are ordinary or statutory income for the taxpayer (2 marks each):
i. Harvey receives a phone from his employer for doing a great job at work. The mobile phone is locked to him and only he can use the device.
ii. Claire is a jockey who races horses full time. Claire goes to the Melbourne Cup with three friends and bets on some horses during the day. She wins $2,000 in prize money.