Taxation Law

Running head: TAXATION LAW
Taxation Law
Name of the Student
Name of the University
Authors Note
Course ID

TAXATION LAW1
Table of Contents
Part A:........................................................................................................................................2
Letter of Advice.........................................................................................................................2
Part B:.........................................................................................................................................6
Net Income of Partnership:........................................................................................................6
Distribution Statement:..............................................................................................................6
References:.................................................................................................................................8

TAXATION LAW2
Part A:
Letter of Advice
To Jack
From: ABC Tax Consultancy
Date: 5th May 2019
Dear Jack
The issue here highlights the significance of undertaking the detailed analysis of the
fact and situations of your residency status in Australia for the purpose of tax law. We would
like to explain you that the “taxation ruling of IT 2650” is mainly related with determining
the residency status of a taxpayer for tax purpose that has the permanent place of abode out of
Australia (Woellner et al., 2016). As per this ruling a person that leaves Australia for work
purpose to reside in overseas nation ceases to be Australian resident for tax purpose during
their stay in overseas nation.
The word resident or the resident of Australia implies under “subsection 6 (1), ITAA
1936” as someone that has their domicile in Australia, except it can be proved that the
commissioner is content that the taxpayer has the permanent place of abode out of Australia
(Barkoczy 2016). It also includes persons that has been living in Australia on a continuous
basis for a minimum of six months in the income year except when the commissioner is
content that the taxpayer has the usual place of residence out of Australia and has no such
intention of taking up the residency in Australia.
We would like to stated that the above stated definition includes four relevant test to
determine whether you will be considered as the Australian resident for taxation purpose;