Kylie Jones is a well-known pianist who moved from New York, United States, to Sydney, Australia, on 1 August 2019 to work for Sydney Symphony Orchestra. Her remuneration includes a salary of $450,000 plus $50,000 bonus per year and a contractual term of two years. Kylie obtained Australian permanent residency since 15 August 2019 and set up the music school which is called NY Music School on 1 September 2019. She is the sole owner and principal of music school located in Sydneys inner city. She hires five musicians to teach school students during weekend. The following information relates to Kylies business for the year ended 30 June 2021: Cash received from clients in 2020/2021 $300,000 Unpaid accounts as at 30 June 2021 $50,000 Unpaid accounts as at 30 June 2020 $60,000 Salaries paid to five musicians $120,000 Other expenses paid $40,000 - During the year Kylie also paid $65,000 PAYG withholding tax to the ATO when she lodged her Business Activities Statements. - Kylie requested a client who owed her $1,500 for services she had provided in May to have the full amount paid to a charity (Red Cross) on 5 July 2021. - On 26 May 2021, Kylie received an iPad (market value $1,000) from one of her clients. It was accompanied by a note thanking Kylie for her service. Kylie also bought the following assets in Sydney since she obtained permanent residency: A family house in Paddington: acquired on 1 December 2019 at a cost of $2,400,000 Furnitures: acquired on 1 January 2020 at cost of $150,000 Painting: acquired on 2 February 2020 at cost of $200,000 were sold for $180,000 on 1 December 2020. 50,000 Shares in CBA: acquired on 15 February 2020 at a cost of $400,000 were sold for $550,000 on 16 May 2021. On 2 March 2021, Kylie sold the following overseas assets which she bought before she came to Australia: 60,000 shares in a US company: acquired on 1 May 1982 at a cost of $30,000 and was sold for $70,000. The market value was $12,000 as at 1 August 2019. A vintage motor vehicle built in 1950: acquired on 15 November 2015 at a cost of $300,000 and was sold for $450,000. The market value was $280,000 as at 1 August 2019. An investment flat in New York: acquired on 15 June 2005 at a cost of $500,000 and was sold for $580,000. The market value was $650,000 as at 1 August 2019. Kylie still maintains a bank account at the Bank of New York in New York which deposited a total of $500 interest income into her bank account during the year 2020/2021. Bank of New York Paid 15% withholding tax to the US tax authority, Internal Revenue Service. REQUIRED 1. Advise Kylie on what amounts have to be included in her taxable income for the 2020/2021 tax year. (18 Marks) 2. Calculate the assessable income which Kylie needs to declare in her income tax return. (2 Marks)