Reference no: EM132777508

Simon at all relevant times held a German passport. From the time of his first visit Australia in 2009 until the end of the 2018 income year, he held a visa which permitted him to live and work in Australia. During the time he was in Australia, Simon worked under contract as a marine engineer on a sea-going barge owned by an Australian company. Subsequently, the barge was leased to a Malaysia-based company, Ocean Development Ltd (OD), for use in carrying out work in China. Simon accepted employment with OD and left Australia on 8 August 2019, leaving his son and wife in Australia. He worked for Ocean Development Ltd for nine months in China and earned AUD $190,000. He then terminated his contract and returned to Australia where he stayed for the rest of the income year. On his arrival back in Australia he entered into a partnership business with his wife. Accommodation provided for Simon in China by his employer was of a temporary or transitory nature in the form of single men's quarters or barracks. Meals were also provided. Ocean Development Ltd.'s office in Malaysia paid Simon's wages into his bank account in Australia, after deducting tax required to be paid in Malaysia. Simon paid no income tax in China. Simon's assets in Australia are his home in Sydney, an investment residential unit $1,250,000 in Surry Hill, a super policy with AMP worth $2 million, listed shares, bank accounts and membership of a local golf club. Simon intended to be absent from Australia for approximately nine months and was in fact away for that period only.

Required:

Problem 1: For the 2018/2019 and 2019/2020 tax year, is Michael a resident or non-resident of Australia? Refer to the relevant legislation and cases