Private ruling: Temporary residency
Published: May 2013
Ruling period: Year ended 30 June 2012 | Year ended 30 June 2013 | Year ended 30 June 2014 | Year ended 30 June 2015 | Year ended 30 June 2016
Date scheme commenced: On or after 1 January 2012

Ruling: Questions and answer | As a temporary resident in Australia is your investment income from overseas taxable in Australia? | No


Relevant legislative provisions: Income Tax Assessment Act 1997 section 768-910 | Income Tax Assessment Act 1997 Section 995-1

Reasons for decision: Summary: If you are an Australian resident for tax purposes and meet the requirements to be a temporary resident, the temporary resident rules mean: Most of your foreign income is not taxed in Australia except income earned from employment performed overseas for short periods while you are a temporary resident. This income is subject to income tax and would still be declared in your return for the year in which you earned it. Where you paid tax in a foreign country, you may be entitled to claim a foreign income tax offset when you lodge your tax return. As your income from overseas is sourced from investments the income is not assessable in Australia.

You arrived in Australia early in the relevant year. | You have a temporary visa for study purposes. | You plan to reside in Australia for the period of time corresponding to your studies. | You intend to return to your country of origin permanently on completion of your studies. | In order to complete a property investment you are closing some of your investment policies overseas. | You want to pay tax on any income only in Australia.