The shooting of an Australian woman by US police has raised serious concerns after it was revealed the officers did not have their body cameras turned on.

Key points: 40-year-old Australian woman Justine Damond was shot dead by a police officer in Minneapolis

40-year-old Australian woman Justine Damond was shot dead by a police officer in Minneapolis Her stepson Zach Damond says he is "demanding answers" from authorities

Her stepson Zach Damond says he is "demanding answers" from authorities DFAT says it is providing consular assistance to Damond's family

Justine Damond, aged 40, was shot dead in Minneapolis about 11:30pm local time on Saturday after two officers responded to a report of a possible assault.

Ms Damond, originally from Sydney and also known as Justine Ruszczyk, attended Manly High School and graduated from the University of Sydney with a Bachelor of Veterinary Science in 2002.

According to her LinkedIn profile, the qualified yoga instructor had been working for the past three years as a personal health and life coach and a meditation teacher.

She was engaged to Minneapolis local Don Damond and they were due to marry next month.

A woman was shot in an alleyway in the Fulton neighbourhood of Minneapolis. ( Star Tribune: Richard Tsong-Taatarii )

Her stepson Zach Damond, 22, said she called police after hearing a noise in the alleyway near their house in the suburb of Fulton.

"At one point an officer fired their weapon, fatally striking a woman," the police department said.

"Officers were dispatched. When officers responded, an officer-involved shooting occurred, which resulted in one adult female victim who is deceased and which has prompted our callout to the BCA [Bureau of Criminal Apprehension].

"The BCA will now further be conducting this investigation, this officer-involved shooting, from this point forward."

A woman on Sunday drew colourful chalk hearts on the driveway near where the woman was shot. ( The Star Tribune: Phat Pheifer )

Minneapolis Mayor Betsy Hodges said in a statement that she was "heartsick and deeply disturbed by the incident".

"I'm seeking answers to the questions we all have, and will make sure to keep the communication flowing," she said.

Ms Hodges said she understood the police body cameras and squad camera, which were introduced to the Minneapolis Police Department last year, were not switched on when the shooting occurred.

The two officers involved have been placed on paid administrative leave, which is standard procedure.

'They took my best friend's life'

Space to play or pause, M to mute, left and right arrows to seek, up and down arrows for volume. Watch Duration: 43 seconds 43 s Zach Damond-Midnight speaks about the shooting death of this stepmother

A rally organised by local activist Mel Reeves was held at the site of the shooting, while other community members gathered for a vigil in Ms Damond's neighbourhood.

Local media say neighbours are mystified as to what occurred.

Zach Damond spoke at the vigil calling for more information and transparency from the authorities.

"Basically my mum is dead because a police officer shot her for reasons I don't know, and I demand answers," Mr Damond said.

"I just know that she heard a sound in the alley so she called the police, and the cops showed up.

"And she probably … thought something bad was happening and then the next thing, they take my best friend's life.

"I'm so done with all this violence, it's so much bullshit.

"America sucks, these cops need to be trained differently and I need to move out of here."

Ms Damond's family said they were trying to come to terms with what happened and asked that their privacy be respected.

"This is a very difficult time for our family. We are trying to come to terms with this tragedy and to understand why this has happened," the Ruszczyk family said in a statement released by DFAT.

Sorry, this video has expired Justine Damond appeared in a testimonial video for a workshop she attended in Sydney (Image: Facebook/Don Miller Damond)

A woman named Bethany, another speaker at the vigil who claimed to be a friend of Ms Damond, described her as a "beautiful light".

"She was a healer. She was loved. She should be alive. She should still be here," she said.

'Living a new life'

Communities United Against Police Brutality president Michelle Gross said Ms Damond "lost her life being a good neighbour".

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Alison Monaghan, who trained Ms Damond in some alternative therapy, described her as "the most beautiful person" who was "all about giving to other people".

Ms Monaghan said the "vibrant" Ms Damond moved to the United States to "follow her heart" and was living a "new life".

In an online profile Ms Damond said: "I believe that nothing is more important than for every individual, and every organisation as a collective, to gain a deep and practical understanding of how their brain works, and how this new mastery of the mind can transform individuals, the collective and the culture of a company."

The Department of Foreign Affairs and Trade (DFAT) said it was providing consular assistance to the family.

The shooting has reopened a deep rift between community members and the authorities as it comes one year after Minneapolis man Philando Castile was shot and killed by Minneapolis police officer Jeronimo Yanez.

A video from the aftermath of last year's shooting was livestreamed on Facebook.

It showed a woman interacting with an armed officer as the fatally injured man lay on the footpath.

The local community was left reeling after Mr Yanez was acquitted of all charges exactly one month ago and fired by the City of Saint Anthony.

Leslie Redmond, the vice-president for the Minneapolis NAACP (National Association for the Advancement of Coloured People), has called for a federal investigation into the latest shooting.

"I am shocked and appalled by the limited amount of information available right now. What are they covering up?" she said.