xlf sample :: QandA series
ATO company tax rates → User Defined function (UDF)
The full company tax rate in Australia is 30%. In some years, lower rates are available to base rate entity companies. Base rate entityy tax rates apply from the 2017-18 income year and onwards.
"From the 2017-18 to 2019-20 income years, companies that are base rate entities must apply the lower 27.5% company tax rate. The rate reduced to 26% in the 2020-21 income year and then to 25% for the 2021-22 income year and future years." Source: https://www.ato.gov.au/rates/changes-to-company-tax-rates/
The rates are summarised here:
For the purposes of this question, a base rate entity is a company whose aggregate turnover is less than the threshold. Read the entire question before commencing part a.
a..Required: write VBA code for a UDF, following the syntax provided in the comments section, to return the relevant company tax rate for 2021-21 or 2021-22 income years. The return value to the cell should be in decimal form. No error checking or handling is required. (6 marks)
' Function: CTaxRate Returns the Company Tax Rate as ...
' source: /www.ato.gov.au/rates/changes-to-company-tax-rates/
' Syntax: CTaxRate(TOver, Yr)
' TOver (required): aggregated turnover (whole number)
' Yr (required): (4 digits) 2021 is the 2020-21 income year, _
' 2022 is the 2021-22 and future income years
b.. The return value (to the cell) is now required to be in percentage form by amending the relevant code statement from your part a answer.
Required: Write the existing code statement as a comment, then the new code statement on the next line. (4 marks)
c.. Required: Write a macro procedure to test the CTaxRate function. Include code statements and parameter values, to facilitate the following outcome, if the code is run from the VBE. (4 marks)