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Question 1:
After Misha finishes her Bachelor of Commerce degree she travels to the UK to work as an accountant for three years. During that time she rents a flat and makes many friends. Her UK salary is paid into a UK bank account. At the end of the three-year period she has saved enough money to travel. Misha then spends a year travelling around Europe and a year travelling around North America, At the end of the five years she returns to Australia. Discuss the residency of Misha.
Question 2:
Consider the following situations and discuss whether or not they are income in ordinary concepts:• A cash prize for being the best student in income tax law received by a student who also receives a Youth Allowance from the government.• A gratuity (not being superannuation) received by a widow from her husband's former employer in recognition of her husband's services.• An honorarium received by a student for acting as honorary secretary of a small country town football club.• A bonus received by an employee for a suggestion adopted by the management.
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in this assignment, two question has been solved. First question is regarding residential status.The second question is regarding income being ordinary income or not.
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