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This edited version has been archived due to the length of time since original publication. It should not be regarded as indicative of the ATO's current views. The law may have changed since original publication, and views in the edited version may also be affected by subsequent precedents and new approaches to the application of the law.

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Edited version of your written advice

Authorisation Number: 1051483992253

Date of advice: 15 February 2019

Ruling

Subject: Foreign income

Question

Is the income received from overseas tax exempt under Section 23AG of the Income Tax Assessment Act 1936 (ITAA 1936)?

Answer

Yes. Your foreign earnings you derived for the period ended 30 June 2018 of Foreign Service is exempt under section 23AG of the ITAA 1936, as the exemption it is not excluded by the operation of 23AG(1AA) or 23AG(2).

This ruling applies for the following period:

Year ended 30 June 2018

The scheme commences on:

1 July 2017

Relevant facts and circumstances

You are an Australian resident for tax purposes.

You are employed by a Non-Government Agency in Australia.

You were sent overseas from 20XX to provide a foreign service and have been located overseas for more than 91 days.

Your employment is directly related to an activity that is listed in subsection 23AG(1AA) of the ITAA 1997.

You were sent overseas under a Memorandum of Understanding between Australia and Country X.

You took recreational leave and returned to Australia for those periods and did not perform work duties. This did not impact the 1/6 legislative rule as a continuous period of foreign service.

Relevant legislative provisions

Income Tax Assessment Act 1936 section 23AG

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