SCENARIOStephanie and David are a married couple who run a small business in a 50:50 partnership structure selling agricultural produce. There is no written partnership agreement. During the year ended 30 June 2021 they generated $480,000 in sales of agricultural produce and incurred $50,000 in deductible expenses.The partners appropriated the following partnership salaries to each other: Stephanie $112,000 David $ 24,000Stephanie and David also own an investment property as joint tenants which generated $180,000 in gross rent and had $28,000 in deductible expenses.They have two children, twins, Oliver and Olivia both 23 and fulltime university students.The twins live with their parents, and they do not have any other income.The family does have private health insurance.In your statement of advice, you are to address the following issues with reference to legal authority:1) Construct the partnership net income of the business entity for the year ended 30 June 20212) Prepare and calculate a partnership distribution statement for the business entity for the year ended 30 June 20213) Evaluate the income tax consequences of a partnership structure with respect to the individual partners of the business entity for the year ended 30 June 2021LawSocial ScienceTax law ACCOUNTING ACBUS103A
