Let's take a look at Xiao Gu's example first: Xiao Gu has been in Australia for many years. One day, the general manager of the company revealed to Xiao Gu that the company intends to send Xiao Gu as the main technical director to stay in the China branch. After a period of contact, Xiao Gu received several attractive treatment conditions.
After careful consideration, Xiao Gu decided to accept the company's assignment and work in China for a short period of one year. My wife and children will stay in Australia for the time being, and then make long-term plans after Xiao Gu returns to China. In this way, Xiao Gu encountered the first tax problem related to returnees.
Then, does Xiao Gu still belong to Australian tax residents after returning to work? In order to determine taxpayers, we mainly consider the following three basic tests:
1. Fixed permanent residence test
As a first test, if a taxpayer's permanent residence is in Australia, unless he can prove to the Australian Taxation Bureau that his permanent residence is actually overseas. Under other conditions, basically, if the taxpayer has left Australia for two years or more and established a permanent residence overseas, then the second residence can be regarded as the taxpayer's permanent residence.
2. 183 days test
Unless the taxpayer's fixed residence is located overseas (see the first test for the definition of fixed residence) and has no intention of living in Australia for a long time, if the taxpayer has lived in Australia for more than half of a fiscal year, it can be considered as having passed the test of 183 days. Just because a taxpayer does not have a permanent residence in Australia does not mean that the taxpayer's permanent residence is located overseas.
3. Federal government pension contribution test
If the taxpayer is the beneficiary of a pension account and the account receives contributions from the federal government, the taxpayer is a tax resident of Australia. This test is limited to the case where the federal government contributes to the pension accounts of government employees (relatively few).
In addition to the above basic tests, the following factors should also be considered in the identification of taxpayers:
* My desire and purpose of living in Australia.
:: Family, business and employment links with Australia
* Arrangement and location of personal assets
* Arrangements for personal life and social relations
As can be seen from the above points, the judgment of Australian taxpayers is a complicated issue. There are both objective factors of taxpayers (such as 183-day exam) and subjective factors of taxpayers (such as the purpose and will of living in Australia). No one factor is decisive, all factors should be considered comprehensively.
Let's go back to Xiao Gu's example. On the surface, it seems that Xiao Gu is not an Australian tax resident, because except for a short holiday this year, Xiao Gu is not in Australia at all, and he certainly failed the 183 test. Xiao Gu's home in Australia must be his residence, but in the relevant fiscal year, Xiao Gu only lived in his home in Australia for a short time.
Xiao Gu's residence in China is the senior staff dormitory provided by the company. On the surface, it is not his usual place of residence, so he has doubts about the fixed residence test. Xiao Gu's family, employer, assets (real estate, bank account, etc. ) and major social life relations are closely linked with Australia.
Based on the above analysis, even though Xiao Gu spent most of the relevant fiscal year overseas, we still cannot define Xiao Gu as a non-Australian tax resident. According to the records of similar cases handled by the Australian Inland Revenue Department, the definition of tax residents by the Inland Revenue Department is biased.