Which of the Following Is Not One of the Tax

question 13

Multiple Choice

Which of the following is not one of the tax implications for a business of having a company structure?

• A)A company is a separate legal entity and has its own TFN.
• B)A company pays tax at the corporate rate.
• C)A self-assessment scheme applies.
• D)A company is not obliged to pay PAYG instalments.

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Definitions:

Merchandise

Goods that are bought and sold in the normal course of business, typically in a retail or wholesale setting.

Credit

An accounting entry that increases liabilities and equity accounts or decreases assets and expense accounts, recorded on the right side of a ledger.

Defective Goods

Items that fail to meet quality standards due to flaws or faults, rendering them unsaleable or requiring correction.

Credit Terms

Conditions under which credit is extended by a lender to a borrower, including interest rate, repayment schedule, and other terms of a credit agreement.