Edited version of private advice

Authorisation Number: 1052373441886

Date of advice: 19 March 2025

Ruling

Subject: Residency

Question 1

Are you Australian residents for tax purposes pursuant to subsection 6(1) of the Income Tax Assessment Act 1936 (ITAA 1936) for the relevant ruling period?

Answer 1

Yes.

This ruling applies for the following periods:

Year ended 30 June 20XX

Year ended 30 June 20XX

Year ended 30 June 20XX

The scheme commenced on:

XX XX 20XX

Relevant facts and circumstances

You were born in and are a citizen of Australia.

On XX XX 20XX, you departed Australia for Country B with your partner and child.

You intend to reside in Country B for two years. You do not intend to reside in Country B permanently.

You intend to return to Australia in 20XX.

You lived with your family in Australia on a permanent basis prior to your departure.

You entered Country B on a temporary visa.

Your visa doesn't allow you to stay permanently in Country B.

You intend to apply for a long-term visa to remain in Country B.

Your partner and child hold dual citizenship (Australia and Country B).

You have secured temporary accommodation in Country B.

Your lease agreement begins on XX XX 20XX and ends XX XX 20XX.

You are currently an employee at the Company A in Australia.

Your ongoing contract with your employer has an end date of XX XX 20XX, with the opportunity to be extended.

You have made a verbal agreement with your employer to visit Australia a minimum of once a year and intend to use those trips to also visit family in Australia.

You are taking your personal assets overseas.

Your motor vehicle will remain in Australia.

Your household effects, furniture, and any additional personal items not able to be transported overseas will also remain in Australia.

Your Australian bank accounts will remain open. You will be paid into one of these accounts from your employer and you will continue to use them whilst overseas.

You currently have no social or sporting connections in Country B.

You have not advised the Australian Electoral Office of your departure to have your name removed from the electoral roll. You intend to participate in voting whilst overseas.

You have not advised any Australian financial institutions with whom you have investments that you are a foreign resident so that non-resident withholding tax can be deducted.

You have not advised Medicare or your health insurance provider to have your name removed from their records.

You are not a member or the spouse of on behalf of whom contributions are being made to the Public Sector Superannuation Scheme (PSS) or the Commonwealth Superannuation Scheme (CSS).

Relevant legislative provisions

Income Tax Assessment Act 1936 subsection 6(1)

Income Tax Assessment Act 1997 subsection 995-1(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 the 20XX to 20XX income years, as follows:

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

•                You do meet the domicile test because your domicile is in Australia, and the Commissioner is not satisfied that your permanent place of abode is outside Australia.

•                You do meet the 183 day test because you were in Australia for 183 days or more during the 20XX income year, and the Commissioner is not satisfied that both:

-               your usual place of abode is outside Australia, and

-               you do not intend to take up residence in Australia.

•                You do not meet the 183 day test because you will not be in Australia for 183 days or more during the 20XX and 20XX income years.

•                You do not fulfill the requirements of the Commonwealth Superannuation test.

More information

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