Edited version of private advice

Authorisation Number: 1052217721634

Date of advice: 1 February 2024

Ruling

Subject: Australian residency for taxation purposes

Question

Are you a resident of Australia for taxation purposes?

Answer

Yes.

This ruling applies for the following period:

Year ending 30 June 20YY

The scheme commenced on:

1 July 20YY

Relevant facts and circumstances

You were born in Country Z.

You are a citizen of Australia.

You migrated to Australia a number of years ago with your former spouse and your eldest child.

You and your spouse separated a couple of years ago.

You and your former spouse lived under the one roof for a period of time after your separation.

You are employed by a foreign company located overseas.

You have been employed by your current employer for several years.

Your employment requires that you travel overseas for work a few weeks at a time.

You left Australia recently for work.

You are currently renting a property with your partner in Country Z.

You took a suitcase of clothes to Country Z with you.

All other items have been left in the rental property in Australia that you shared with your former spouse and children.

You have a bank account and credit card in Australia along with a car.

You have one bank account in Country Z.

You pay child support for your children who remain living in Australia.

You intend on returning to Australia to reside on a permanent basis in a few months time.

Upon your return you will obtain long-term accommodation in proximity to the location of your children.

You are not eligible to contribute to the PSS or the CSS Commonwealth super funds.

Relevant legislative provisions

Income Tax Assessment Act 1936 section 6(1)

Income Tax Assessment Act 1997 section 995-1

Reasons for decision

For tax purposes, you are a resident of Australia if you meet at least one of the following tests. You are not a resident of Australia if you do not meet any of the tests.

•         The resides test (otherwise known as the ordinary concepts test)

•         The domicile test

•         The 183 day test

•         The Commonwealth superannuation fund test

We have considered your circumstances, and conclude that you are a resident of Australia for tax purposes for the 20YY income year as follows:

•         You are a resident of Australia according to the resides test.

•         You meet the domicile test.

•         You will meet the 183-day test.

You do not fulfil the requirements of the Commonwealth superannuation fund test.

In summary, you are a resident of Australia for tax purposes for the relevant income year.

For more information about residency, see Taxation Ruling TR 2023/1 Income tax: residency tests for individuals.