Course Title: Implement tax plans and evaluate tax obligations

Part B: Course Detail

Teaching Period: Term2 2019

Course Code: ACCT5389C

Course Title: Implement tax plans and evaluate tax obligations

School: 650T Vocational Business Education

Campus: City Campus

Program: C6163 - Advanced Diploma of Accounting

Course Contact: Doug Gourlay

Course Contact Phone: +61 3 9925 5944

Course Contact Email: doug.gourlay@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Bruce Phillips  ext 55735   Room 80.5.30
bruce.phillips@rmit.edu.au

Nominal Hours: 60

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites

FNSACC512 Prepare tax documentation for individuals

Course Description

This unit describes the skills and knowledge required to assess taxation liabilities, optimise tax positions, establish processes and plans, evaluate tax policies and review tax compliance for legal entities.

 

It applies to experienced individuals who use analytical and problem-solving skills to prepare plans and strategic advice for clients.

 

Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. This unit is designed to meet educational requirements of the Tax Practitioner Board (TPB). Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSACC603 Implement tax plans and evaluate tax obligations

Element:

1. Assess legal entity's tax obligations

Performance Criteria:

  1. Quantify History and trends of legal entity’s tax obligations arising from its historical taxable transactions, using standard accounting techniques
  2. Analyze data from current transactions to resolve discrepancies and ambiguities and confirm suitability of legal entity
  3. Conduct research to identify updates or additions to compliance requirements relevant to minimizing client’s benefit and establish reporting & recording requirements
  4. Identify legal entity’s tax obligations by analysing data on taxable transactions
  5. Schedule payments of tax obligations by applying methods of determinations and tax bases

Element:

2. Develop tax plans

Performance Criteria:

  1. Assess implications of schedule on tax entity’s operations and structure
  2. Develop financial management strategies to ensure alignment of cash flows with incidence and schedules of tax obligations
  3. Develop management process and record keeping systems to implement financial management strategies and ensure maintenance of audit trail
  4. Document management processes that include application of compliance requirements
  5. Estimate future taxation obligations from income and expenditure forecasts using standard accounting techniques

Element:

3. Evaluate and advise on tax plan

Performance Criteria:

  1. Prepare budgets in accordance with income and expenditure forecasts, and periodically review to ensure accuracy of tax obligation estimates
  2. Analyse variances between actual tax obligations and tax plan to identify errors or adjustments required to financial management strategies or management process
  3. Monitor and evaluate performance of tax plans and advise accordingly
  4. Monitor and review  tax documentation to ensure it complies with legislative and professional requirements
  5. Analyse evidence of non-compliance to diagnose origin and develop resolution


Learning Outcomes



Details of Learning Activities

A range of learning activities are planned for this course including self-paced and collaborative classroom based activities.

The self-paced activities will be delivered throughout various technology platforms and include quiet work and interactive sessions.


The collaborative classroom based activities will include group discussion, group problem solving activities and opportunities to practice your skills in a simulated/real workplace environment.
We expect you to participate and contribute in all scheduled learning activities.
 


Teaching Schedule

Induction Session

Note that this unit is clustered (co-delivered and co-assessed) with ACCT5387c Prepare and Administer Tax Documentation for Legal Entities.

The nominal hours associated with this are a guide only and represent the total teaching time and student effort required to successfully complete this course. This may not only include scheduled classes but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.


Prior to training commencement a program level induction session will be conducted that comprises the following:

  • Program overview and requirements
  • MyRMIT/Blackboard
  • Overview of assessment requirements
  • Pre-Training Review including:
    • Recognition of Prior Learning and Credit Transfers
    • Assessment of current skills and knowledge
  • Competency Criteria
  • Plagiarism
  • Appeals
  • Extensions
  • Feedback
  • Privacy
  • Submission requirements
  • Resubmission policy
  • Where to get support
  • Student responsibilities 

 The Teaching Schedule for this course is as follows but please note that it is subject to change.
Between 2 Sept to 8 Sept is the mid semester break. Classes resume on 9 Sept 2019.

Week  Assessment 
 1 

Revision of tax principles, Tax Practitioners,

Partnerships;:distribution statements, tax payable
 
  Partnerships: advanced exs 
  Intro to trusts, Trust distribution statements taxation S.95A(2),s101 
  Trusts exercises, Unearned income of minors 
  Primary producers & livestock accounts Test 1
 

Assignment Squatter game played

Primary producers, & special elections,;

Returns/tasks handout OUT
 
  Special deductions, intro the average offset  
  Primary producers exercises 
  Companies introduction & reconciliations 
10Companies reconciliationsAssign IN
11Companies, franking accounts 
12SuperfundsTest 2
13FBT introduction, FBT cars 
14FBT Cars, FBT loans, otherwise deductible rule, exempt from FBT   
15

FBT returns. Salary Packaging

Revision
 
16Final test, resitsTest 3

 

The nominal hours associated with this are a guide only and represent the total teaching time and student effort required to successfully complete the course. This may include not only scheduled classes bit also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.


Learning Resources

Prescribed Texts


References

Advanced Income Tax Law by Baker, Cliff, Deaner  16th ed, Learn Now Publications

9781760730031


Other Resources

Materials are posted regularly into MyRMIT (Blackboard)


Overview of Assessment

Performance Evidence

Evidence of the ability to:

  • research and critically evaluate new or changed legislative requirements and apply where relevant to the preparation of the client's tax documentation
  • identify legal entity's tax data required to calculate taxable income
  • provide taxation advice to clients in line with individual requirements
  • prepare tax documentation and tax plans for legal entities that comply with:
  • Australian taxation law and Australian Taxation Office (ATO) rulings and lodgement schedules
  • accounting principles and practices
  • tax entity's organisational policy and procedures
  • evaluate tax plan for compliance with legislative requirements.

 

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

 

Knowledge Evidence

To complete the unit requirements safely and effectively, the individual must:

  • identify and explain ethical considerations and legislative requirements relevant to the preparation of tax documentation for legal entities, including:
  • conflict of interest
  • responsibilities of tax agents including Code of Professional Conduct obligations under the Tax Agent Services Act (TASA) and Tax Agent Services Regulations (TASR)
  • government tax policy documents issued by Reviews, Treasury and Board of Taxation
  • explanatory materials in relation to legislation
  • statutes
  • court and Administrative Appeals Tribunal decisions
  • Commissioner of Taxation's interpretive guidance in Rulings and Determinations
  • explain critical and key elements of Australian taxation law as it relates to tax documentation for legal entities such as companies, trusts, partnerships and sole traders including:
  • the rules and principles of Australian tax law, with an understanding of the legal environment in which these principles operate, basics of the legal system, constitutional considerations and separation of powers
  • the key aspects of income tax law covering concepts of residence and source, related elements of international tax, assessable income, deductions, tax rebates and offsets, and tax accounting
  • the key aspects of taxes that extend the ordinary income tax base, including relevant principles and application of the capital gains tax (CGT) and fringe benefits tax (FBT) rules
  • goods and services tax (GST)
  • taxation aspects of superannuation law
  • administrative aspects of the taxes identified above including documentation, tax collection and withholding mechanisms, assessments, obligations, rulings, penalties and audits
  • specific and general anti-avoidance tax rules
  • describe the key sources of information and taxable transactions data required to calculate taxable income, including:
  • allowable deductions
  • capital gains
  • financial adjustments such as write-offs and revaluations
  • income
  • payments
  • purchases
  • superannuation payments
  • describe the key features of organisational policy and procedures relating to the preparation of tax documentation for legal entities
  • outline the key accounting principles and practices relevant to preparation of tax documentation for the different types of legal entities
  • discuss ethical considerations for the preparation of returns, including the Code of Professional Conduct's disclosure and confidentiality requirements
  • outline financial management strategies used to optimise tax position.

Assessment Conditions

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the accounting field of work and include access to:

  • common office equipment, technology, software and consumables
  • an integrated financial software system and data.

 

Assessors must satisfy NVR/AQTF assessor requirements.

 

Note: The identification of the unit FNSACC512 Prepare tax documentation for individuals as a prerequisite does not require that it be certificated prior to this unit. This unit and its prerequisite may be delivered and assessed together.

 

This unit is designed to meet regulatory requirements of the Tax Practitioner Board (TPB). Where registration with the TPB is sought, assessment must reflect the conditions described by the regulator, which stipulate that a significant amount (at least 40%) must be completed under some form of independent supervision. Where recognition of prior learning (RPL) is used, it must also meet the requirements of the Board s policy on RPL.

 

Details of requirements can be accessed on the TPB website at: http://www.tpb.gov.au

You are advised that you are likely to be asked to personally demonstrate your assessment work to your teacher to ensure that the relevant competency standards are being met.

Feedback

Feedback will be provided throughout the semester in class and/or online discussions.  You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.

You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course. 


Assessment Tasks

Overview of Assessment

This course  ACCT5389C Implement Tax Plans & Evaluate Tax Obligation  is co-delivered and co-assessed with the ACCT5387C Prepare & Administer Tax Documentation for Individuals .

You are required to complete  4 tasks. You must successfully complete all Components  to be deemed competent in this course.

The Teacher or Course Coordinator may request anytime to ask students to demonstrate and/or reproduce assessments to validate authenticity. 

  The assessments for this course have been designed to allow participants to apply their learning to particular simulated work scenarios and demonstrate their competence in a variety of ways.

TEST 1 (Due Date: End of  Week 5 )

For this Assessment Task you are doing is an open book test on topics partnerships and trusts and unearned income of minors. The test requires you to apply your learning to practical situations. Most questions are calculation based including finding the net income and tax payable by a partner or a trustee. Feedback for this assessment will be provided the following week.


TEST 2 (Due Date: End of Week 12)

For this assessment task you are doing an open book test on topics primary producers and companies & franking accounts. Again it is about applying your learning to practical situations. Calculators are encouraged as you will be calculating the answer to most questions. For example the calculation of the taxable income (company), or the averaging offset of a primary producer. 

Feedback for this assessment will be provided the following week.

 

TEST 3 (Due Date: End of Week 16)

For this assessment task you are doing an open book test on topics superfunds, fringe benefits tax, salary packaging, & returns and assessments etc. Again this is about problem solving and is mostly based on calculations. For example you will find taxable income of a superfund and you will calculate two options to determine whether a salary package with benefits is a better option than maximising salary. 

Feedback for this assessment will be provided the following week.

 

 

ASSIGNMENT (Due Date : End of week 10)

For this assessment task you are required to do an assignment based on the transactions from the board game Squatter, starring Dave Rudd a sheep farmer, who owns a large property in outback Australia. Students undertake the assignment in groups of three, with each making their own contribution to the overall effort. The students are required to prepare a tax return for one year, and estimate tax payable after offsets, and to produce certain accounting records. The assessment will be based on a competent or not yet competent basis.. You must pass the assignment to pass the semester.

Feedback for this assessment will be provided the following week.

 

 

You must successfully complete all assessment tasks to achieve competency.


Assessment Matrix

The assessment matrix that maps all the assessment is available on Canvas.

Other Information

Submission Requirements

You should:

• Ensure that you submit assessments on or before the due date.
• Always retain a copy of your assessment tasks. (hard copy and soft copy)
• When you submit work for assessment at RMIT University you need to use a cover sheet that includes a declaration and statement of authorship. You must complete, sign and submit a cover sheet with all work you submit for assessment, whether individual or group work. On the cover sheet you declare that the work you are presenting for assessment is your own work. An assignment cover sheet for submission of each assessment task is available on the RMIT website.
• Each page of your assessment should include footer with your name, student number, the title of the assessment, unit code and title and page numbers. For example, Doug Gourlay, 324567, Task 2, OHS2345C Ensure safe workplace, Page 1 of 10.


Late Submission Procedures


You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.


If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days. 


More Information: http://www.rmit.edu.au/students/student-essentials/assessment-and-exams/assessment/extensions-of-time-for-submission-of-assessable-work

 


Where an extension of greater than seven days is needed, you must apply for special consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination. 
 

More Information: http://www.rmit.edu.au/students/student-essentials/assessment-and-exams/assessment/special-consideration




Resubmissions (VET Programs):


If you are found to be unsuccessful in a Course Assessment Task (or you do not submit/attend) you will be allowed one resubmission. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. 


If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.


Adjustments to Assessment


In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website: 
More Information: http://rmit.edu.au/students/student-essentials/assessment-and-exams/assessment/adjustments-to-assessment

Marking Guide (Competency):

You must demonstrate that you have all the required skills/knowledge/elements in the unit of competency you are studying.

You will receive feedback on each assessment task that will inform you about your progress and how well you are performing.

 

Course Overview: Access Course Overview