Introduction

Reference of Arthur Murray (NSW) Pty Ltd v FCT (1965) 114 CLR 314

The case study of Arthur Murray reveals various figures and fact with the regulations and
rules. The case study also determine the decision which are executed as the results of
the providision which is more important for RIP Pty Ltd. This case study determines the
biggest complication related to the fees of member of the taxpayers with the payment
made for the unlimited website construction. The overall operations that are conducted
which are related to the payers of the tax are the assessment of the income tax in
accordance with the section 6-5 of ITAA. The complete fees of membership is determined
with the suitable creation of enhancement mechanism and thereby the acess which is
unlimited can be attained with the website operations payment. The realiblity related to
the payers of tax also assist in the payment of extensive access with the certain values
of the regulations and the considered laws and thereby the optimization of the case is
seen in this particular case.

Taxation Advise for RIP Pty Ltd

With the overall payment for the RIP Pty Ltd, the development of fees care determined
to be owed during the timeframe of thirty days with thereby assist in the development
of feasible bills of contract. The case illustrate the development of the contract by the
timeframe of thirty days with the development of the cost related to the funeral which
must be settle by the medium of the plans related to the pricate insurance which contains
the commissions of the transport. Thereby, the overall charges are determined to be
owed unde the account separation that are settled under the depicting of transportation
and agreement of the commission of accident thereby the overall charges are seemed to
be characterized with the overall amount of arrangement of two hundred and twenty
five thousand dollars.

The value which is determiend to be refundable with the development of deluxe

arrangement of funeral. Amount paid by the cost of potential funeral. The alteration that
assists in the enabling the policy of reenue with forecasting the arrangement and
therefore deposit are made according the forfeited account scheduling. All these amount
are the results of the commencement for the generation of income thus, determined as
the income which is assessable and the organization must pay for the generated revenue
or income as the taxation law norms of 1937.
Implication of Arthur Murray Principle in this Case

Funeral Plan is made by the client which helps in the creation of the differed account with
the amount and thereby the date of the death must be seemed to be payable with the
consideration made for Deffered Income Liability Account. The plan may be cancelled
with the creation of the cancellation of the situation and thereby the explanations are
credited for refunding amount. Appropriate justifications are provided with focusing on the
arrangements made and thereby the case study “Arthur Murray (NSW) Pty Ltd v FCT
(1965) 114 CLR 314”can be implemented in the case of RIP Pty Ltd. As the company is
facing the similar situation of “Arthur Murray (NSW) Pty Ltd v FCT (1965) 114 CLR 314
thus, there will be similar types tax treatment can be applied.

Choice of Tax Payers

The taxpayer or the commissioner does not have any choice for the prevention of tax in
this case. The considerations depict the LIFO method which helps in the creation of the
value against the taxpaying procedures and thereby the enabling of the revenue returns
policies are made with the enhancement of the refund procedures. The appropriate rule
of IRS 99-19 is applied in this case which helps in depicting the system of claim for the
returns made and thereby the claiming for the refund procedures helps in the enabling
the procedures and the structures of the amount.

Tax Treatment for the Forfeited Paymeny

According to the case study given, it can be stated that RIP Pty Ltd is a resident private
company which runs the business of the funeral director. As per the financial year that
ended on June 30th 2016, the company had incurred a profit around $2.45 million.
Along with the normal profit made by it, the company also received periodic payments
from the clients who gave the money to the organization in the form of installments so
that they can afford the cost of a funeral in the future. The easy funeral can be defined
as a fixed price contract between the RIP Pty Ltd Company and its client and the
conditions that they have both agreed to. According to the terms and conditions of the
aforesaid contract, the customers or clients of the organization are promised a deluxe
funeral arrangement in the future and this is ensured to the customers by the
organization at the time of payment too.