Wendy Djordjevic works for the Merchant Bank Ltd in Brisbane, as a financial consultant. Merchant Bank Ltd has branches all over the world. In January this current tax year Wendy s boss, Anne Lester, offered Wendy the position of managing Merchant Bank s Singapore office.

Anne said she did not know how long Wendy would be expected to stay in Singapore but that it would be at least three years. She also advised that Wendy would remain an employee of Merchant Bank Ltd but be paid in Singapore by the Singapore Branch.

As the position meant a promotion for Wendy she accepted and left for Singapore on 1 March this current tax year. She commenced work in Singapore on 15 March this current tax year. She closed all her bank accounts in Brisbane with the exception of one with the Blue Bank. She rented her house at Mt Gravatt and organised for the tenants to pay the rent into her Blue Bank saving s account. She received rent totalling $10,000 up to 30 June this current tax year.

Wendy arranged to store her furniture at a friends and she sold her only other asset, her car. Wendy has no family ties in Australia.

Wendy s salary was paid as follows:

• AUD$60,000: for 1 July to 28 February of this current tax year; and
• AUD$40,000 for 1 March to 30 June this current tax year.

What is Wendy s assessable income for Australian tax purposes for this current tax year?

$100,000

$70,000

$50,000

$60,000

$110,000