Hi I am an Australian Citizen but non tax resident in Australia for tax purposes , as I live overseas for over 200 days.
My son who is an Australian Citizen and a tax resident wants to make me a director in a private company which he wants to incorporate.
What will be my tax implications if I become a director in this company ?
Thank you in advance !
Hi @OZANTHO,
It depends on if you will be paid or not. If you are not paid, then there may be no tax impact to you personally. The company will need to comply with its own tax obligations which are separate to you.
If you are paid, then you may become a resident for tax purposes. Our decision tool may be able to help determine which side of the fence you land.
Being a Director also means you are responsible for ensuring all tax obligations are met.
Lastly, ASIC requires one Director to reside in Australia. Just a friendly reminder to factor that when you two are working out the company structure.
2 Dec 2025 · 6 min read time
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