1051536075552 | Legal database

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This edited version has been archived due to the length of time since original publication.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 private advice

Authorisation Number: 1051536075552

Date of advice: 05 July 2019

Ruling

Subject: Residency

Question

Are you an Australian resident?

Answer

This ruling applies for the following periods:

Year ending 30 June 20XX

The scheme commences on:

1 July 20XX

Relevant facts and circumstances

You have accepted a long term employment contract.

You leased your house out as an investment property.

You sold your car before departure.

You live in an apartment in the foreign country.

You have bank accounts in the foreign country that you use on a day to day basis.

You removed yourself from the Australian electoral role.

You cancelled your private health insurance.

You have lodged tax returns in the foreign country

Relevant legislative provisions

Income Tax Assessment Act 1997 Section 6-5

Income tax Assessment Act 1997 Section 995-1

Reasons for decision

The terms 'resident' and 'resident of Australia', in regard to an individual, are defined in subsection 6(1) of the ITAA 1936. The definition provides four tests to ascertain whether a taxpayer is a resident of Australia for income tax purposes. The tests are:

· the resides test,

· the domicile test,

· the 183 day test, and

· the superannuation test.

If any one of these tests is met, an individual will be a resident of Australia for taxation purposes.

Based on the facts you have provided, we can conclude that you will not satisfy the any of the tests for residency.

Accordingly you are not a resident of Australia for income tax purposes under section 995-1(1) of the ITAA 1997 and subsection 6(1) of the ITAA 1936.

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