Private ruling: Section 23AG exempt income
Date of advice: 21 June 2023
Published: 14 August 2023
Ruling period: Year ended 30 June 20XX | Year ended 30 June 20XX | Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Is the income you earned while employed in Country A by your employer exempt from income tax in Australia under section 23AG of the Income Tax Assessment Act 1936 ? | A1: Yes, based on the information provided to the Commissioner, your foreign salary and allowances are exempt from tax under 23AG of the Income Tax Assessment Act 1936 as you are a resident of Australia, your employment in Country A was for more than 91 days, you were delivering Official Development Assistance and your income was not exempt from tax in Country A.

Relevant facts and circumstances: You are an Australian resident. You are employed. Your employer was provided a grant from DFAT to support activities of overseas development assistance. For a period of greater than 91 days, you were deployed to Country A as Project Director. You were absent from the deployment for a period of 12 days for medical assessment of an injury. You were deployed for a second period for longer than 91 days for the same purpose as your previous deployment. You were subject to tax in Country A without exemption, you were treated as a non -resident foreigner by the Government of Country A.

Relevant legislative provisions: Income Tax Assessment Act 1936 section 23AG