Hi,
My wife and I (both dual Australian & British citizens) are visiting family in the UK for an extended period (between 8 and 11 months) and would like to clarify our residency status for tax purposes.
From the research I have done I am somewhat confused as to whether we would pass the "resides" test due to our assets and employment/business situation, or whether we would pass the "domicile" test.
I was hoping to get some guidance if the community could be so kind.
Some key facts:
* We have both lived in Australia for around 20 years, and that is where our "life" is.
* We own our house in Australia with a small mortgage.
* We feel our house in Australia is our permanent home, and we intend to return within 8 to 11 months.
* We have NOT rented out our house in Australia. All utilities remain connected, it's insured, we have a gardener tend to the gardens and we have a friend come and collect the mail. It is otherwise empty/unoccupied and awaiting our return.
* My wife is continuing in her job with her Australian employer, but working remotely from the UK. Her employer pays Australian PAYG tax and super on her earnings as usual.
* I am continuing with my Australian business, working remotely for my clients and continuing to invoice from my ABN.
* Neither of us are working in any capacity in the UK, except remotely to continue our Australian employment/businesses as noted above.
I feel that we would likely be quite clearly continue to be classed as Australian residents for tax purposes, however the fact that we have rented a property in the UK may be seen as us "adopting a place of abode" outside Australia.
I'd really appreciate any help in clarifying our situation.
Thanks in advance!
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