Private ruling: Residency for tax purposes
Date of advice: 13 August 2018
Published: October 2018
Ruling period: Year ending 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Are you a resident of Australia for income tax purposes? | A1: No Having considered your circumstances and the relevant factors, you are not a resident of Australia for income tax purposes under section 995-1(1) of the Income Tax Assessment Act 1997 and subsection 6(1) of the Income Tax Assessment Act 1936 as you have not met any of the tests required to be considered a resident of Australia.

Relevant facts and circumstances: You left Australia in July 20XX on a long term visa as a dependant to join your spouse who is working and living in another country on a long term visa. Both visas were supplied by their employer. You indicated on the incoming passenger card that you were entering the country on the long term visa and listed your xxxxxxxx address. You have resigned from your full time position but will continue to work on a casual basis for your current employer until you secure employment. You expect the income from this employment will be below the threshold to lodge a tax return in xxxxx. You have leased a residence for two years from March 20XX to March 20XX. The residence is for your exclusive use and have had your personal effects shipped there. You will apply for a drivers licence and purchase a motor vehicle. You have a group of friends and intend to open a xxxxxxxxx bank account. It is your intention to live in xxxxx at least until the end of 20XX and then move to other countries. You own a home in Australia which will be rented to tenants from XX August 20XX under normal commercial leasing arrangements and rent rates. The property is being managed by real estate agents. You will remain responsible for and continue to pay for the mortgage on the residence and will not have mail sent to the address. You will maintain your Australian bank accounts. You do not intend to make any new investments in Australia while you are overseas. You have suspended your private health insurance for two years after which it may be cancelled. Your intention is to return to Australia in approximately 20XX if your spouse’s employment situation permits. You are not an eligible member of the Commonwealth or Public Sector Superannuation schemes.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 995-1 | Income Tax Assessment Act 1936 subsection 6(1)