Determine Residence status

Last activity 20 April 2018 by Gravitas

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arif_uapMember20 April 2018 04:43:52

Hi Guys,

This is Arif. I am moving to Melbourne in May 20th of 2018. Now i am going to get tax clearance. I have the blow record and worried about my residence status and want to determine how much i have to pay. Please help:

I started 10th April, 2016 and left Malaysia for 20 days at 13th of October which is 188 days.
but in between 10th of april and 13th of October, i went to home for social visit of 10 days.

Should the calculation be 188 - 10 = 178 or those 10 days will be considered as presence ?

Please help.

GravitasViP20 April 2018 04:47:32

9040

The 10 days are not counted as presence in Malaysia while qualifying to be tax-resident - you would need to add 10 more days to the time required to qualify as tax resident i.e. 182 + 10 = 192

arif_uapMember20 April 2018 05:22:14

Thanks for your reply.
I have completed 182 consecutive days in 2017 (last half, july to december). Will that be linked to 2016 to determine my residence?

Appreciate your feedback

GravitasViP20 April 2018 05:30:16

9040

You would need no more than 14 days outside Malaysia during first 182 (+14) days in 2017 (Jan-July) to link the two years.

However, if you were in Malaysia for a total of 182 days in 2017 that year will be counted as tax resident

arif_uapMember20 April 2018 06:06:28

Thanks Gravitas for your reply.

It means i have pay 28% flat for 2016

Do you have any idea about emergency leave? I left because of the pregnancy of my wife since she admitted to hospital for weeks and i had to stay with her. I have all the documents about that.

Will that be helpful to appeal anyway? Then my 182 boundary will be met for 2016 as well.

Thanks for your reply

GravitasViP20 April 2018 06:15:04

9040

You can discuss this with the Income Tax Officer who you meet to do your tax clearance

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