Treasury Laws Amendment (International Tax Agreements) Act 2019 (107 of 2019)

Schedule 2   Source rules

Income Tax Assessment Act 1997

1   Before Division 768

Insert:

Division 764 - Source rules

Table of Subdivisions

Guide to Division 764

764-A Source rules

Guide to Division 764

764-1 What this Division is about

This Division contains a source rule for certain international tax agreements.

Subdivision 764-A - Source rules

Table of sections

764-5 Source rule for international tax agreements

764-5 Source rule for international tax agreements

(1) For the purposes of this Act, income, profits or gains have a source in Australia if:

(a) for the purposes of an *international tax agreement, the income, profits or gains are those of a person who is a resident of a foreign country or foreign territory; and

(b) the effect of the agreement is that the income, profits or gains may be taxed in Australia.

(2) Subsection (1) applies in relation to *international tax agreements made on or after 28 March 2019.

Note: An international tax agreement not covered by this section may be subject to specific source rules contained in the International Tax Agreements Act 1953 or in the international tax agreement itself.

(3) This section has effect despite any other provision of this Act (other than Part IVA of the Income Tax Assessment Act 1936).