Edited version of private advice

Authorisation Number: 1052469805947

Date of advice: 18 November 2025

Ruling

Subject: Residency

Question

Are you a resident of Australia for tax purposes as defined by subsection 6(1) of the Income Tax Assessment Act 1936 (ITAA 1936) from DD MM 20YY?

Answer

No.

This ruling applies for the following periods:

Year ended 30 June 20YY

Year ended 30 June 20YY

Year ended 30 June 20YY

Year ended 30 June 20YY

The scheme commenced on:

DD MM 20YY

Relevant facts and circumstances

You were born in Australia and you are an Australian citizen.

In 20YY, you ceased being an Australian tax resident when you moved overseas.

In MM 20YY, you returned to Australia for family reasons as well as the COVID-19 pandemic.

On DD MM 20YY, you departed Australia.

You entered Country B on a conventional tourist visa.

On DD MM 20YY, you were granted a employer sponsored visa.

The visa is for an initial period of three years with the option to be renewed.

You have no intention of returning to Australia to live on a permanent basis.

Before leaving Australia, you were residing in furnished rental accommodation.

On DD MM 20YY, your lease concluded.

On DD MM 20YY, you commenced a tenancy agreement for a property located in Country B.

The agreement termination date is DD MM 20YY.

On DD MM 20YY, you signed a tenancy agreement for a property located in Country B.

The commencement date is DD MM 20YY. The termination date is DD MM 20YY.

You have business ties to multiple countries.

You are employed overseas by Company A (your employer). Your employment is ongoing.

You are a director of the group of entities to which your employer belongs.

You have managed the international business from Australia for several years.

In MM 20YY, you ceased to be the sole director of several Australian private companies.

You have affected a transition to move the management of the business closer to the markets in more appropriate time zones. You are also relocating overseas to be closer to your school aged children.

You separated from your former spouse in 20YY.

You have X school aged children and an adult child who resides in Country C permanently.

Your former spouse and your children are residing in Country B permanently.

From DD MM 20YY, your school aged children have attended school in Country B.

From the 20YY income year you have spent less than 183 days in Australia.

Most of your return trips since departing Australia permanently were solely for work purposes.

You hold the following assets in Australia:

•                     Shares

•                     An investment property. The property has been sold with settlement to occur in MM 20YY.

•                     Joint tenancy of a property. Ownership of the property will be relinquished to your former spouse as part of the settlement of matrimonial proceedings.

•                     You have not resided in the property, apart from a short period between MM and MM 20YY.

•                     You own a boat located in Australia. You plan to transport the boat overseas shortly.

You do not own any motor vehicles in Australia.

You hold overseas transaction accounts and credit cards which you use while overseas.

When you ceased your Australian residency in 20YY you removed yourself from the electoral roll.

You have advised the relevant Australian financial institutions with whom you have investments that you are a foreign resident.

You are not a member on behalf of whom contributions are being made to the Public Sector Superannuation Scheme (PSS) or the Commonwealth Superannuation Scheme (CSS) or a spouse of such a person, or a child under 16 of such a person.

Relevant legislative provisions

Income Tax Assessment Act 1936 subsection 6(1)

Income Tax Assessment Act 1997 subsection 995-1(1)

Reasons for decision

For tax purposes, you are a resident of Australia if you meet at least one of the following tests. You are not a resident of Australia if you do not meet any of the tests.

The resides test (otherwise known as the ordinary concepts test:

•                     The domicile test

•                     The 183 day test

•                     The Commonwealth superannuation fund test

We have considered your circumstances, and conclude that you are not a resident of Australia from 8 April 2024, as follows:

•                     You are not a resident of Australia according to the resides test.

•                     You do not meet the domicile test because while your domicile is in Australia, the Commissioner is satisfied that your permanent place of abode is outside Australia.

•                     You do not meet the 183 day test because you were in Australia for 183 days or more during the 20YY income year, and the Commissioner is satisfied that both:

•                     your usual place of abode is outside Australia, and

•                     you do not intend to take up residence in Australia.

•                     You do not meet the 183 day test because you were not in Australia for 183 days or more during the 20YY, 20YY and 20YY income year/s.

•                     You do not fulfil the requirements of the Commonwealth Superannuation test.

More information

For more information about residency, see Taxation Ruling TR 2023/1 Income tax: residency tests for individuals.