ATO Interpretative Decision

ATO ID 2002/304 (Withdrawn)

Income Tax

Taxation of Eligible Termination Payment to a non-resident
FOI status: may be released

This ATO ID is withdrawn as the position stated in the ATO ID is no longer current due to the repeal of the law relating to eligible termination payments. This ATO ID continues to be a precedential view in respect of decisions for income years up to, and including, the 2006-07 income year.

This document incorporates revisions made since original publication. View its history and amending notices, if applicable.

CAUTION: This is an edited and summarised record of a Tax Office decision. This record is not published as a form of advice. It is being made available for your inspection to meet FOI requirements, because it may be used by an officer in making another decision.

This ATOID provides you with the following level of protection:

If you reasonably apply this decision in good faith to your own circumstances (which are not materially different from those described in the decision), and the decision is later found to be incorrect you will not be liable to pay any penalty or interest. However, you will be required to pay any underpaid tax (or repay any over-claimed credit, grant or benefit), provided the time limits under the law allow it. If you do intend to apply this decision to your own circumstances, you will need to ensure that the relevant provisions referred to in the decision have not been amended or repealed. You may wish to obtain further advice from the Tax Office or from a professional adviser.

Issue

Is an eligible termination payment from an Australian superannuation fund paid to a non-resident assessable in Australia under section 6-10 of the Income Tax Assessment Act 1997 (ITAA 1997)?

Decision

Yes. Under subsection 6-10(5) of the ITAA 1997 a non-resident is assessed on income derived from all sources in Australia. As the eligible termination payment is from a superannuation fund that is established and controlled in Australia it is sourced in Australia.

Facts

A non-resident of Australia received an eligible termination payment from an Australian superannuation fund.

Reasons for the decision

The taxpayer was a non-resident of Australia when they received an eligible termination payment from an Australian superannuation fund. As per subsection 6-10(5) of the ITAA 1997, a non-resident is assessable on income from all sources within Australia.

As the eligible termination payment is from a superannuation fund established and controlled in Australia the source of the payment is Australia.

Date of decision: 24 May 2001

Year of income: Year ended 30 June 2001

Legislative References:
Income Tax Assessment Act 1997
subsection 6-10(5)

Related Public Rulings (including Determinations)
Income Tax Ruling IT 2168

Keywords
Eligible Termination payment
ETP post June 1983 component
Resident/residency

Business Line: Small Business/Individual Taxpayers

Date of publication: 28 March 2002

ISSN: 1445-2782

history

	Date:	Version:
	24 May 2001	Original statement
You are here	6 June 2014	Archived

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