Edited version of private advice

Authorisation Number: 1052224670733

Date of advice: 21 February 2024

Ruling

Subject: Residency

Question

Are you a resident of Australia for taxation purposes?

Answer

Yes.

This ruling applies for the following period:

Year ending 30 June 2024

The scheme commenced on:

1 July 2023

Relevant facts and circumstances

You were born in Country Z.

You are a citizen of Australia and Country Z.

Your spouse is a permanent resident of Country Z this was granted to them a number of years ago.

You and your spouse went to Country Z several months ago.

You both returned in a few months.

You have a number of children living in Country Z.

Your family remain living in Country Z.

You accompanied one of your children back to Country Z after a medical procedure.

You cared for your aging parents while in Country Z and one of your siblings passed away while you were there.

While in Country Z your spouse did some work.

Your children rent a house in Country Z.

You have some items in the property you leave there when you visit such as furniture, books, clothes, linens, craft tools and supplies, dishes & cookware, photos.

You do not have any other assets in Country Z.

You and your spouse intend on purchasing the property in Country Z.

You and your spouse have a property in Australia that is also used for income producing purposes.

The property is fully furnished and contains all your personal and household belongings.

Your in-law lives with you in a granny flat out the back of the main house.

Your in-law did not go to Country Z with you.

A number of your children live with you on the property.

While in Country Z your neighbour assisted with the property and another of your in-laws assisted with the income producing activity.

You and your spouse run a business in addition to the activities carried out on the property.

You will continue with the business for several more years.

You intend on returning to Country Z.

You do not intend on living in Country Z permanently at this stage.

You did not suspend or cancel your private health in Australia.

You did not remove your name from the Australian Electoral roll.

You are not a resident of Country Z for taxation purposes.

Neither you nor your spouse are eligible to contribute to the PSS or the CSS Commonwealth super funds.

Relevant legislative provisions

Income Tax Assessment Act 1997 subsection 995-1

Income Tax Assessment Act 1997 subsection 6-5

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 2024 income year as follows:

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

•         You meet the domicile test.

•         You meet the 183-day test for the relevant income year.

•         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.