Groves and Commissioner of Taxation
Document type: Decision Impact Statement
Venue: Administrative Appeals Tribunal (2011/1248)
Judgment date: 1 September 2011
Date published: 17 November 2001

Summary of decision:
Outlines the ATO response to this case which concerned the residency status of a taxpayer.

Overview of facts:
The taxpayer arrived in Australia on a working holiday visa on 2 July 2009, spent about one and a half months travelling and then rented accommodation in Coogee from September 2009 to 27 May 2010 when he departed Australia, returning to the UK. While he was in Sydney, the taxpayer had earnings from work as a bar attendant in a Sydney hotel. | The Commissioner accepted, prior to the matter being heard that the taxpayer was a resident of Australia for tax purposes. However, the taxpayer submitted that he was a resident for the entire income year and thus should be entitled to a full year tax-free threshold (even though the taxpayer was only present in Australia for eleven months and not the full income year). | Issues decided by the court | The Tribunal affirmed the Commissioner's view that the taxpayer should be treated as having a part-year residency period of eleven months in accordance with section 18 of the Income Tax Rates Act 1986.

Issues decided:
The Tribunal affirmed the Commissioner's view that the taxpayer should be treated as having a part-year residency period of eleven months in accordance with section 18 of the Income Tax Rates Act 1986.

ATO view of decision:
The decision was based on the facts of the case.

Administrative treatment:
Implications for ATO precedential documents (Public Rulings & Determinations etc) | N/A | Implications for Law Administration Practice Statements | N/A

Legislative references: Income Tax Assessment Act 1997 995-1 Income Tax Assessment Act 1936 6 Taxation Administration Act 1953 14ZZK Income Tax Rates Act 1986 3 18 20
Case references: Commissioner of Taxation v Executors of the Estate of Santha Thevy Subrahmanyam (2001) 116 FCR 180 (2001) 189 ALR 666 2002 ATC 4001 (2001) 49 ATR 29 [2001] FCA 1836 Case 20 (1965) 12 CTBR Case 78 (1968) 11 CTBR 461
Subject references: income tax objection to assessment resident for taxation purposes eligibility for tax-free threshold resident for taxation purposes for whole or part year