Are you a resident of Australia?

Australia-flag…for tax purposes?

In case you haven’t noticed, The Tax Chic has been holidaying in Fiji – such a beautiful part of the world…and it got me thinking about the number of Fijians who have relocated to Australia (as well as the New Zealanders, the British, the Americans and so on…welcome to our multi-cultural society!)

Did you know that there are different rates of income tax applicable to taxpayers, depending on their residency status?

The Australian Taxation Office (ATO) also views residency a little differently from other government agencies who deal with things like immigrations, visas and citizenship.

If you:

  • have always lived in Australia
  • have moved to Australia to live here permanently
  • have been in Australia for more than half of the financial year (unless your usual home is overseas and you do not intend to live in Australia)
  • have been in Australia continuously for six months or more and have been living in the one place, in the one job;

…then you will be considered an Australian resident for tax purposes.

However if these don’t apply to you, you may be considered a “non-resident” for tax purposes – you can check out the Residency Tests on the ATO website.  There are different tests to help you determine your residency status, based on whether you are arriving in Australia, or departing from – hopefully this will clarify things for you!

Oh, and you can find the tax rates here.



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