Discuss whether Fred is a resident of Australia for taxation purposes. ( 4.
Taxation, Theory, Practice & Law
This assignment is to be submitted by the due date in both soft-copy
(Safeassign – Bb) and hard copy.
The assignment is to be submitted in accordance with assessment
policy stated in the Subject Outline and Student Handbook.
It is the responsibility of the student submitting the work to ensure
that the work is in fact his/her own work. Ensure that when
incorporating the works of others into your submission that it
appropriately acknowledged.
Case study 1: Residence and source
Fred, an executive of a British corporation specializing in management consultancy,
comes to Australia to set up a branch of his company. Although the length of his stay
is not certain, he leases a residence in Melbourne for 12 months. His wife
accompanies him on the trip but his teenage sons, having just commenced college,
stay in London. Fred rents out the family home. Apart from the absence of his
children, Fred’s daily behavior is relatively similar to his behavior before entering
Australia. As well as the rent on the UK property, Fred earns interest from
investments he has in France. Because of ill health Fred returns to the UK 11 months
after arriving in Australia.
Requirement
Discuss whether Fred is a resident of Australia for taxation purposes. ( 4
Marks, maximum 500 words)
Case study 2: ordinary income
Explanations of the respective outcomes reached by the courts in the following cases
which all involving sales of land
I. Californian Copper Syndicate Ltd v Harris (Surveyor of Taxes) (1904) 5 TC
Discuss whether Fred is a resident of Australia for taxation purposes. ( 4
