Part 1: Case study 
Janet (taxpayer) residing in Australia is named as the sole beneficiary of a property (1.85 hectares) with a large homestead as a result of the death of a relative on 7/10/2009. The property is not used for commercial purposes and at the date of death, the property was valued at 
$1.45million. Settlement took place on 21/12/2009. After moving into the homestead shortly after taking ownership, she planned to take a one-year rip which she had been planning for some time in late 2010. The taxpayer felt that the homestead was far too large for her (she is single), applied to the ATO for an exemption for ABN registration and some fourteen months later (16/2/2011), she obtained council approval to subdivide the property into three, with the intention of building three units, one she will take up as her own residence, the other two will be sold. Work commenced some weeks after approval and on 12th December that same year, the taxpayer returned and moved into one of the apartments. The other two were sold in March/April in 2012, one selling for $1.35m (24/3/2012), the other for $1.45m (9/4/2012). 
You are to consider the CGT implications both from the relevant sections 
(ITAA), rulings, etc. and from the values (if/where applicable). Assume that the blocks are subdivided equally. For each determination that you make, you should clarify. You should also clarify what Capital Gains and CGT is in your answer (15 marks) 

Part 2: Question 
Explain using examples and relevant sections of the act, what the differences between Ordinary Income and Statutory income are. Use your own examples (not from MTG or Barkoczy text)