Residency for Tax Purposes

Facebook Twitter LinkedIn Mail Us

Residency for tax purposes

Earning Australian sourced income while temporarily staying in Australia?

Residency tests used by the Tax Office to determine residency status for tax purposes vary to residency tests used by other Australian Government agencies.

  1. It is important to determine whether you are a resident for tax purposes as this impacts the treatment of Australian income received whilst in Australia.
  2. Generally, you are considered to be a resident for tax purposes if you:
    • Have always lived in Australia or have come to Australia to live;
    • Have been in Australia for more than half of the income year (unless your usual home is overseas and you do not intend to repatriate to Australia); or
    • Are an overseas student enrolled in a course of study of more than six months duration.
  3. Being an Australian resident allows the taxpayer access to benefits such as the tax-free threshold and lower tax rates.
  4. To assist in determining residency for tax purposes, the Tax Office has made available a tool which can be accessed here.
  5. For more information, click here.


Residency status is determined depending on your circumstances and Taxpayers cannot choose whether they are or are not a resident for tax purposes. Contact us if you require any clarification or advice.


This article is not a substitute for independent professional advice. We do not warrant the accuracy, completeness or adequacy of the information or material in this article. All information is subject to change without notice. We and each party providing material displayed in this article disclaim liability to all persons or organisations in relation to any action(s) taken on the basis of currency or accuracy of the information or material, or any loss or damage suffered in connection with that information or material. You should make your own enquiries before entering into any transaction on the basis of the information or material in this article. Please ensure you contact us to discuss your particular circumstances and how the information provided applies to your situation.

Leave a Reply

Your email address will not be published. Required fields are marked *

Join our mailing list today!

Keep up to date with our latest news & updates!