Private ruling: Residency – departing Australia
Date of advice: 5 March 2019
Published: May 2019
Ruling period: Year ended 30 June 2019 | Year ended 30 June 2020 | Year ended 30 June 2021
Date scheme commenced: 1 May 2018

Ruling: Q1: Are you a resident of Australia for income tax purposes from 1 May 2018? | A1: No. Given regard to your circumstances as a whole and a consideration of the residency tests, it is accepted that you are not a resident of Australia for income tax purposes. Further information on residency can be found by searching 'QC 33232' on ato.gov.au

Relevant facts and circumstances: You are a citizen of Australia whom is married to an Australian citizen and have children whom reside and work in Australia. Recently you returned to Australia after residing in Country B. You have been based overseas working before returning to Australia. You departed Australia and commenced work in Country C with a new employer and will reside with your spouse in Country C until Winter 2022. You and your spouse own properties in Australia which will remain vacant. You hold a visa which allows you to work in Country C for the duration of your work contract and currently have no fixed plans after the end of your employment contract. Autumn 2018 your spouse joined you in Country C however your spouse is not employed and does not plan to be employed whilst residing in Country C. You are leasing a house in Country C exclusively for you and your spouse and the lease is in both names for a 12 month duration, with an option to extend. Internet, electricity and water have been connected and charges for these services are incurred in you and your spouse’s’ name for the property. You also have mobile phone contracts and personally incur the cost of groceries in the Country C. You have exclusive use of a car in the Country C for daily use, which is owned/leased by the company employing you and the registration and insurance is paid for by your employer. You have obtained private medical insurance in Country C. You have social memberships in Country C. You have set up bank accounts in Country C and have assets held in other countries, including Australia where you wish to retire. You have notified your Australian financial institutions and registries that you have ceased to reside in Australia. You hold assets in Australia. You have elected to receive as much of your mail as possible via email. You have suspended your private health insurance when you departed Australia. You have maintained social memberships in Australia. You and your spouse are not eligible to contribute to the relevant Commonwealth super funds.

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