Australian resident means a person who is a resident

This preview shows page 14 - 26 out of 51 pages.

Australian resident means a person who is a resident of Australia for th e purposes of the Income Tax Assessment Act 1936. “person”: definition in s.995-1 n person includes a company. n “Resident of Australia”: s.6(1) ITAA 1936
Image of page 14

Subscribe to view the full document.

resident or resident of Australia means: (a) a person, other than a company, who resides in Australia and inclu des a person: (i) whose domicile is in Australia, unless … permanent place of abode is outside Australia; (ii) who has actually been in Australia, continuously or intermitten tly, during more than one-half of the year of income, unless … usual p lace of abode is outside Australia and that he does not intend to take u p residence in Australia; or (iii) who is … a member of the [Commonwealth] superannuation scheme … ; and (b) a company which is incorporated in Australia, or which, not being incorporated in Australia, carries on business in Australia, and has eit her its central management and control in Australia, or its voting pow er controlled by shareholders who are residents of Australia.
Image of page 15
Image of page 16

Subscribe to view the full document.

Resident of Australia – Individuals § 4 tests (different from migration law) : § Primary test: “reside” § Supplementary tests: § “domicile” & “permanent place of abode” § “half year” test & “usual place of abode” § “superannuation scheme” test
Image of page 17
“Reside” n Primary source of tax law : Meaning of “reside”? n Can be part year resident n What factors to consider? Which factors are m ore important?
Image of page 18

Subscribe to view the full document.

“Reside” – Case Law n Second source of tax law n Dictionary: “to dwell permanently or for a con siderable time …” n A question of fact and degree n Examples: Levene, Lysaght
Image of page 19
“Reside” – Factors to consider n home n Family, business and social ties n Physical presence n Residency history n Frequency & regularity of movement n Purpose of presence n Nationality (minor importance)
Image of page 20

Subscribe to view the full document.

“Reside” – ATO ruling n Third source of tax law n TR 98/17: Residency status of individuals ente ring Australia
Image of page 21
TR 98/17 n Migrant : Come to Australia permanently  resident n Rule of thumb (though not decisive: para.18) : n Live continuously here > 6 months : para.22 and n behaviour consistent with residency: Factors: para.20 n prima facie resident
Image of page 22

Subscribe to view the full document.

TR 98/17 n Example 6: agree? n Example 9: consistent? n Issues: n Temporary resident? n Treaty implication?
Image of page 23
TR 98/17 - Expatriate n May be resident (para.44 & 45) tough rules Ralph Report suggested to exempt expat’s foreign income f or 4 years n Twice not passed by the Senate in 2002 Amendment effective 1/7/2006: n “temporary resident”
Image of page 24

Subscribe to view the full document.

Temporary Resident n New concept based on migration law: temporary visa you are a temporary resident if: (a) you hold a temporary visa granted under the Migratio n Act 1958 ; and (b) you are not an Australian resident within the meaning of the Social Security Act 1991 ; and (c) your *spouse is not an Australian resident within the meaning of the Social Security Act 1991 .
Image of page 25
Image of page 26
You've reached the end of this preview.
  • '12
  • Anthony
  • Progressive Tax, ITAA, permanent place, temporary resident

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern