Case Study One

The following separate transactions require your advice as indicated:

1.) Kate is a senior executive with an Australian producer and exporter of beef. The company is expanding into the Asian market so has asked Kate to travel to Singapore and establish the office in that country. There is no fixed date of return at this stage, though initial negotiations suggest her period of time in Singapore will be between one and three years. Kate plans to leave for Singapore on 1 January 2022. Kates property connected with Australia includes her private residence located in Brisbane and an investment unit at the Gold Coast. Usually this unit is untenanted and available for holiday use by the family. Kate also has several parcels of Australian shares as well as bank accounts. She plans to keep all of this property whilst she is overseas working. Kates husband and son (12 years) will join her in Singapore, whereas her daughter (18 years) will stay at the family home rent-free. Kate understands she will be required to return to Australia several times each year for meetings and will stay for up to a week at each time (either at her home in Brisbane or the Gold Coast unit). Kates income for the 2022 income year is likely to include salary from her employer (approx $200,000 AUD), dividends from Australian shares and interest on Australian bank accounts. Kate seeks your advice as to whether she will be a resident for Australian tax purposes for the 2022 income tax year and based on this conclusion which amounts of income received are likely to be assessable.

REQUIRED: For all scenarios above, provide advice as requested. You must support your discussion with reference to any relevant authorities (including legislation and relevant case law). Please refer to the marking criteria for further details on requirements.