| Disclaimer This edited version has been archived due to the length of time since original publication.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 private advice
Authorisation Number: 1051639736825
Date of advice: 01 April 2020
Ruling
Subject: Residency
Question
Are you a resident of Australia for income tax purposes?
Answer
No. Having considered your circumstances as a whole and the residency tests, it is accepted that you are not a resident of Australia for income tax purposes. Further information on residency can be found by searching 'QC 33232' on ato.gov.au
This ruling applies for the following periods:
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ended 30 June 20XX
Year ended 30 June 20XX
The scheme commences on:
1 July 20XX
Relevant facts and circumstances
You are an Australian citizen with no other citizenships who left Australia in late 20XX to establish a business in Country A.
You are single and have no children so departed Australia only in company with a relative. The rest of your family remained in Australia.
Your intention upon departure was to reside permanently overseas.
You applied initially for an "investor" visa which allows you to remain in Country A for 6 months. You then returned to Australia in early 20YY to apply for a business visa which allowed you to remain in Country A for X years with unlimited extensions as long as the qualifications for this visa are maintained.
You initially stayed at hotels and short stay accommodations before leasing an apartment from early 20YY with a 12 month lease. This property is used as your mailing address.
On departure you intended to establish a business in Country A but were unsure where this business would be located. By late 20XX you had decided to locate this business in City A. You established a business in that city. You were then able to apply for the business visa which you intend to rely upon in future.
You also established local bank accounts. You also retain an Australian bank account, a small amount in an industry superannuation fund and some Australian shares. You remain as the Trustee and Director of some family owned family entities but they are not active and you expect these to be wound up over time.
Before leaving Australia you did not advise the Australian Electoral Office and Medicare of your departure. Similarly you have not advised your bank that you would be overseas, pending completion of this private ruling.
You cancelled your Australian private health insurance before leaving Australia.
You relocated most personal possessions to your new home in City A however some boxes are still held by family members. You retain ownership of two historic cars which would be impractical to relocate and which were not used for day-to-day transport.
You have not retained membership of any Australian clubs or professional or sporting associations but have joined a local professional association.
You have returned to Australia for brief visits, to see family. Most such visits are for a month or less. You were in Australia less than 183 days in the last financial year.
You have never been employed by the Australian Commonwealth government and do not belong to any Commonwealth superannuation scheme such as CSS or PSS.
Relevant legislative provisions
Income Tax Assessment Act 1997 Subsection 995-1(1)
Income Tax Assessment Act 1936 Subsection 6(1)