Private ruling: Assessable income
Date of advice: 9 December 2024
Published: 20 January 2025
Ruling period: Year ended 30 June 20XX | Year ending 30 June 20XX
Date scheme commenced: XX/XX/20XX

Ruling: Q1: Is income you earn from your employment in Australia covered by Article X of the relevant Double Taxation Agreement between Australia and Country A (the DTA)? | A1: Yes. Your employer, is wholly owned, controlled, and funded by Country A's government. Therefore, Article X of the DTA will apply to you as you are providing services rendered in the discharge of governmental functions. | Q2: Is your income considered foreign exempt income and therefore not assessable income in Australia in accordance with section 6-5 of the Income Tax Assessment Act 1997 (ITAA 1997)? | A2: Yes. You are a citizen only of Country A, residing in Australia on a visa sponsored by your employer solely for the purposes of performing your employment duties. As such, Article X of the DTA provides that income you earn from this employment will be taxable only in Country A.

Relevant facts and circumstances: You are a citizen of Country A. You are employed by a organisation wholly owned, controlled, and funded by the Government of County A. From XX/20XX, the Employer has had a presence in Australia with a small office. You have been working with the Employer from XX/XX/20XX until XX/XX/20XX. You entered Australia on a 482 visa, sponsored by your employer. Your position requires you to work night shifts in Country A (which is daytime in Australia). You are an Australian resident for tax purposes.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 6-5 | International Tax Agreements Act 1953