Toto Bobo is an Australian company.

Toto Bobo is an Australian company.

Toto Bobo has 4 directors

• Two are located in Singapore

• One is located in Monaco, and

• Edi who is Australian

Edi has sold the following items

Shares in XYZ Ltd were sold on 1/10/2017 for $45000. These shares were purchased for long term investment purposes on 31/10/1998 for $41500. 

Edi has interests in many businesses. One particular business is a clothing store. This store imports a lot of clothing from overseas and is entitled to a concessional rate on the customs duty for a quota (a particular quantity) of protective clothing. However, this protective clothing was not selling well so Edi sold the quota to another business for $50 000. The value of the quota at purchase 5 years ago was $25 000. Edi also has to pay an annual fee of $5000 to renew the quota.   

Advise Edi as to the tax implications of each of these disposals and calculate any amounts required to be declared in his tax return.

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