Residency:  183-day test

Many people think that if they satisfy the 183-day residency test then they satisfy the tax residency test.  Wrrrrrong.

The 183 day test is just the beginning.

The other tests are:

• Resides test
• Domicile test/permanent place of abode

Resides Test

Some of the factors that can be used to determine residency status include:

• physical presence
• intention and purpose
• family
• business or employment ties
• maintenance and location of assets
• social and living arrangements.

If you don’t satisfy the resides test, you’ll still be an Australian resident if you satisfy one of the other tests.

Domicile test

You’re an Australian resident if your domicile (the place that is your permanent home) is in Australia, unless we are satisfied that your permanent place of abode is outside Australia.

A domicile is a place that is your permanent home by law. For example, it may be a domicile by origin (where you were born) or by choice (where you have changed your home with the intent of making it permanent).

For more information about this test

183-day test

You will be a resident under this test if you’re actually present in Australia for more than half the income year, whether continuously or with breaks. unless you can show that your ‘usual place of abode’ is outside Australia and you have no intention of taking up residence here.

If you are not sure of your status, don’t wait until the taxman comes knocking.  Contact us now:  tania@waterhouselawyers.com.au