Course Title: Prepare income tax returns for individuals

Part B: Course Detail

Teaching Period: Term1 2012

Course Code: ACCT5311C

Course Title: Prepare income tax returns for individuals

School: 650T TAFE Business

Campus: City Campus

Program: C5260 - Diploma of Accounting

Course Contact : Bruce Philips

Course Contact Phone: +61 3 99255735

Course Contact

Name and Contact Details of All Other Relevant Staff

Thomas Scordo    9925 5462

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


Course Description

This unit describes the performance outcomes, skills and knowledge required to prepare non-complex income tax returns for individuals in accordance with statutory requirements, and encompasses gathering and verifying data, calculating taxable income and reviewing compliance. This unit has application to a variety of financial services sectors and is applicable to individuals working within enterprises and job roles that may be subject to licensing, legislative, regulatory or certification requirements. The Tax Practitioner’s Board has set specific educational and experience requirements for registration of tax agents that must be met.

If you are undertaking this course in Melbourne from semester 2, 2012 onwards your teacher will advise you if you require access to a computer for the course. It is recommended that you have access to a mobile computing device to allow greater flexibility in terms of where you can work on campus outside class times.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSACC502A Prepare income tax returns for individuals


1. Gather and verify data
2. Calculate taxable income
3. Review compliance

Performance Criteria:

1.1 Current data on assessable income and allowable deductions are gathered from appropriate sources

1.2 Valuations are made, recorded and disclosed in accordance with business policies and procedures

1.3 Discrepancies, unusual features or queries are identified, resolved or referred to the appropriate authority

1.4 Accrued or prepaid income and expenditure is identified and adjustments to the value of assets and liabilities are recorded

2.1 Liabilities for tax are calculated in accordance with current legislation and revenue gathering practices

2.2 Relevant source documentation and revenue documentation is identified and correctly interpreted

2.3 Tax returns, statements and claims take full advantage of available benefits and allowances in accordance with statutory requirements

2.4 Returns are prepared within established timelines

3.1 Relevant returns are submitted to the Australian Taxation Office (ATO) within stated deadlines

3.2 Current obligations are fulfilled and advice from taxation authorities followed and reported in accordance with statutory requirements

3.3 Statements give a clear indication of impact of taxation on individual

3.4 Tax office enquiries are responded to and income tax audit requirements met

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 unit builds up week by week as the students can progressively undertake the major assignment by doing parts of it as we progress through the topics.
The assignment has the students exposed to real life documents, and they are encouraged to work in teams, although the submission is on an individual basis.
This assignment gives students ample opportunity to practice their skills in a simulated/real workplace environment.
The other classroom activities stimulate discussion, and frequent questioning is used to tease out the understanding of each student.
Of great importance is the set exercises from the textbook, which we expect you to participate in and contribute to. 

Teaching Schedule

WeekBegins MonTOPICAssessment
1Feb 6

Introduction to course and familiarisation with University Policy and assess-
ment requirements for course(incl. grading, plagiarism, appeals, extensions, feedback, privacy). Liability to income tax.

213 Assessable & exempt income Assign out
320 Income from property (dividend imputation system) 
427 Capital gains tax (CGT) 
5Mar 5 Lump sums on termination (accrued leave payments) 
612 (Labour day) Lump sums on termination (superannuation funds) 
719 Revision 
826 Test 1 Test
9Apr 2 Mid semester break 
Split week9 Feedback on tests, resit tests 
1016 Deductions general, substantiation, car exps 
1123 (Anzac Day) Exercises on car expenses  
1230 Deductions part 2 
13May 7 Depreciation part 1 
1414 Depreciation part 2 Assign in
1521 Business and offsets 
1628 Test 2 Test
17Jun 4 Feedback on tests, resit tests 

Learning Resources

Prescribed Texts

Australian Income Tax Question Book, by Alan Kirby and Garry Kirby - 2012 Edition



Australian Income tax Answer Book  by Alan Kirby and Garry Kirby, 2012 edition, self published

Other Resources

Overview of Assessment

Assessment may incorporate a variety of methods including technical requirements documentation, homework, assignments, group and/or individual projects, in class exercises, written and practical tests, problem solving exercises, presentations, direct observation of actual and simulated work practice, presentation of a portfolio of evidence which may comprise documents, and/or photographs and/or video and audio files, review of products produced through work-based or course activities.

Students are advised that they are likely to be asked to personally demonstrate their assessment work to their teacher to ensure that the relevant competency standards are being met. Students will be provided with feedback throughout the course to check their progress

Assessment Tasks

Overview of Assessment:
Students must demonstrate an understanding of all elements of competency to be deemed competent.

A range of assessment methods are used to assess practical skills and knowledge, for example:
• direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
• review of authenticated documents from the workplace or training environment
• demonstration of techniques

Critical Aspects of Evidence:
Evidence of the ability to:
• Interpret and comply with statutory requirements and Commonwealth taxation legislation
• Apply organisational policies and procedures and accounting principles and practices
• Gather and verify data to calculate taxable income and review for compliance

Assessment Tasks:
You are required to complete 3 tasks. You must successfully complete all 3 tasks to be deemed competent in this unit.

TASK 1 (Due end of week 8)
For this assessment task you have a closed book test, however students are allowed to take in a copy of the tax legislation provided it is not marked in any way except for highlighting and external tagging. The rules on assessable income weeks 1 to 6 will be covered by the test.

The test will be of 2 hours duration and the seven or eight questions will be predominantly of the calculation and problem solving type.
A rates sheet comprising individual tax rates, medicare levy, and low income will be provided. Also a lump sums rules sheet will be provided.
Students are permitted to use pencil or pen to write with.

TASK 2 (Due end of week 14)
For this assessment task you are to produce a tax return and accompanying estimates of tax payable for the current year tax return of Lou Tide .
The return form used will include Individual return form, supplementary section of form, and the business and professional items schedule.
The scenario assumes you are the tax agent doing Lou’s return for the first time, therefore having to input all the personal details as well as the dollar income /deduction amounts. His income includes some important types of data , for example payment summaries, dividend statements, capital gains, lump sums on termination, business related income and expenditure, and work related claims for deductions.
There is also the requirement to judge whether income meets to assessability criteria, by doing some research into other than the prescribed textbook.

TASK 3  (Due end of week 16)
For this assessment task you have a closed book test, however students are allowed to take in a copy of the tax legislation provided it is not marked in any way except for highlighting and external tagging. The rules on deductions and tax offsets weeks 10 to 15 will be covered by the test.

The test will be of 2 hours duration and the seven or eight questions will be predominantly of the calculation and problem solving type.
A rates sheet comprising individual tax rates, medicare levy, and low income will be provided. Also additional information on dependent rebates and medical expenses offset, motor vehicle cost limit, and cents per kilometre, and summary of pooled assets decline-in-value rates will be provided.
Students are permitted to use pencil or pen to write with.

Assessment Matrix

Submission Requirements

Assessment task 2 needs to be submitted via the Blackboard with a assignment cover sheet attached.

The two test will be presented and submitted during your normal weekly scheduled classes.

You should:
• Ensure that you submit assessments on or before the due date. If your performance in the assessment is affected by unexpected circumstances, you should consider applying for Special Consideration. Information on the process and application forms is available at;ID=ls0ydfokry9rz website.
• 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 work for assessment is available on blackboard.
• 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, Julie Macpherson, 324567, Task 2, assignment Lou Tide, Page 1 of 10.

Marking Guide (competency)
Vocational Education and Training (VET) is based on current industry needs and the focus on preparing you for the workplace. Because VET courses are informed by practical application of knowledge and skills, they are based on a system known as ‘competency based training’ (CBT). So when you are assessed in VET it is about whether you are competent to do the job, as well as having a firm grasp on the knowledge and skills required to do that job, as opposed to traditional curriculum based education settings that are often based on knowledge retention.

You need to demonstrate you are competent in each element of the unit of competency you are studying.

You will receive feedback on each assessment task that will inform you whether you are competent or not and how well you are performing. Once competent in all elements of the unit you receive a competency grading.
Please refer to the final Grades table below.

Marking Guide (Grading)
After achieving competency we then grade your performance in the unit; this gives you the opportunity to have the level of your performance formally recognized against industry standards and employability skills.

The grading is according to the following criteria:

We are looking for a high level of ability to complete all tasks independently as per the specifications as well as demonstrating a high level of initiative in your approach to preparing an individual tax return.
We are looking for depth of understanding of the key concepts and knowledge required in preparing tax returns. You should be able to demonstrate a thorough understanding of all applicable tax legislative requirements in all the assessment tasks.
We are looking for appropriate use of technology to assist in presenting all tasks clearly and suitable for the intended audience. You also need to show an understanding of the kinds of problems that can arise in preparing tax returns and how these might be addressed.
We expect to see all students working together effectively and efficiently as if this were the workplace, including attending meetings outside of the teaching hours. We also expect timely completion of and submission of all required assessment tasks.
We expect to see contributions to relevant discussions and participation in  Collaborative sessions. In addition your tasks should demonstrate a very good understanding of strategies for a team approach to tax return preparation in the workplace. 

Final Grades table:

CHD = Competent with High Distinction
CDI  =  Competent with Distinction
CC  =   Competent with Credit
CAG =  Competency Achieved – Graded
NYC = Not Yet Competent
DNS = Did Not Submit for assessment

Further information regarding the application of the grading criteria will be provided by your teacher.

Course Overview: Access Course Overview