As part of his relocation package back to Singapore, Benson was granted the option to purchase 20,000 shares in PPI at $13.50 per share. On 16 July 2021, he exercised the option and bought 10,000 shares when the market price was $14.70. Benson wanted to derive a steady stream of dividend income from the shareholdings. He used his personal savings to finance the acquisition. On 1 December 2021, Benson sold 5,000 shares at $20 each as he needed funds to renovate his property in Singapore before the family moved in to live. Benson's wife, Sarah, derived the following income in the year ended 31/12/2021:l. Sarah commenced work as a music teacher with the Renaissance Music Academy, starting from 1/8/2021, and her monthly salary is $5,000.m. Sarah has rental income from an apartment in River Valley Road, Singapore. The apartment derived a net rental loss of $2,000 after deductible expenses. n. Sarah earned an interest income of AUD 5,000 (SGD 6,000) in 2021 from her deposit placement with ANZ Bank, Melbourne, Australia. The interest was remitted to Singapore on 3/1/2022.

Using the badges of trade, explain the tax treatment of the gains derived from the following: Profit derived by Benson from the sale of his shareholdings in PPI (see (d) above). Sarah has put her apartment (see (m) above) up for sale. Her grandmother bequeathed the property to her in 2002. She would like to keep it to derive a steady stream of income as well as for sentimental reasons. However, as the apartment is quite old and worn, she would need to incur substantial costs to maintain the property. She also finds it troublesome to find tenants whenever her tenants do not renew their tenancy.