Tax residency and double tax agreement paper

Published on 03 Jul 13 by WESTERN AUSTRALIAN DIVISION, THE TAX INSTITUTE

For Australian employers looking for opportunities overseas a key consideration in reviewing their project costing is the tax residency of their workforce. Similarly, for an Australian taxpayer looking at opportunities overseas, whether it’s a working trip around Europe or an assignment in Asia, the question of their residency for taxation purposes can have a significant impact. Also, there is an increasing number of foreign workers coming to Australia, both permanently and temporarily, and there are often questions about their residency for taxation purposes.

This paper reviews the legislation and consider current rulings, practices and tax planning in the following areas:

• categories of residency
• becoming an Australian resident
• changing from a temporary to a permanent Australian resident
• ceasing to be an Australian resident
• double tax treaties
• the effect on self-managed superannuation funds, family trusts and other entities.

Author profiles

Katya KROTOVA

Katya is a Senior Tax Consultant at Grant Thornton. - Current at 03 July 2013

More by Katya KROTOVA

• Establishing residence in the global village paper - 26-March-2014

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Anthony (Tony) Underhill CTA

Tony is a Tax Principal at Grant Thornton and has more than 30 years experience in taxation. His background includes time in commercial practice and academia in Australia and the UK. Tony’s core expertise is in expatriate and inpatriate taxation, ATO audits and dispute resolution, international tax planning and structuring, and the use of trusts in tax and estate planning. He is a former academic lecturer on taxation, accountancy, finance and management topics. Tony is a current member of The Tax Institute State Convention Organising Committee and has sat on the Education Committee. - Current at 22 May 2017

More by Tony UNDERHILL

• Establishing residence in the global village paper - 26-March-2014
• Residency – The new frontier paper - 11-August-2011
• The ins and outs of expatriate taxation paper - 12-August-2010
• Changes to Section 23AG - Are you ready paper? - 17-February-2010

Click here to expand/collapse more articles by Tony UNDERHILL.