| Disclaimer This edited version has been archived due to the length of time since original publication.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. You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4. |
Edited version of your written advice
Authorisation Number: 1051431326010
Date of advice: 20 September 2018
Ruling
Subject: Residency for tax purposes
Question
Were you a resident of Australia for taxation purposes from 1 July 2013 to 30 June 2018?
Answer
No
This ruling applies for the following periods:
Period ending 30 June 2014
Period ending 30 June 2015
Period ending 30 June 2016
Period ending 30 June 2017
Period ending 30 June 2018
The scheme commences on:
1 July 2013
Relevant facts and circumstances
You were born in country B
You moved to Australia for your schooling which you completed in 199A
You returned to country B permanently
You returned to Australia in 199B for work
You have established a property managing a company in country B.
You also own a second company in country B.
You have an Australian company to facilitate purchases for your country B companies.
You have XX children from X relationships.
Z of your children and your spouse live in Australia for schooling in rental accommodation.
The children travel on education visas and your spouse travels on another visa.
One of your children lives in country B with their parent and is currently schooled there.
You own Y houses in country B, your family members live in X of these houses and you and your immediate family live in the Z house. The Y house is used for entertainment.
Relevant legislative provisions
Income Tax Assessment Act 1997 Subsection 995-1(1)
Income Tax Assessment Act 1936 Subsection 6(1)
Reasons for decision
Section 995-1 of the Income tax Assessment Act 1997 (ITAA 1997) defines an Australian resident for tax purposes as a person who is a resident of Australia for the purposes of the Income Tax Assessment Act 1936 (ITAA 1936).
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 any of the tests of residency.
Accordingly you are not a resident of Australia for income tax purposes 1 July 2013 to 30 June 2018 under section 995-1(1) of the ITAA 1997 and subsection 6(1) of the ITAA 1936.