New Expatriate taxation laws

[Therma]

My wife's friend is an accountant. She called her to tell that ATO (tax office) is changing the rules regarding expatriate taxation, and that we will have to pay more tax both in Singapore and in Australia. Whatever I have googled does not seem to produce conclusive answer we are seeking. I wonder if anyone can shed a light: I am sure she will sleep much easier, since the main reason for us living in Singapore is tax.

1: have the new laws been passed yet? And also the friend mentioned they only apply on contracts from July. I have a job offer that would allow me to see my family for more than 24 hours a week, but worry about the cut off date

2: what exactly is an expat? I mean in the taxation jargon? We live in Singapore, pay Singapore tax, do not get any perks from the company. It is a local "contract", rather it is a normal open-ended job, based in Singapore. I did not get sent by my Australian based company to Singapore on an assignment, I was offered the job by my former colleague. I work for a US based company, we have a registered office in Singapore and I get paid in Singapore in SGD

3: except for family, our only other tie to Australia is the house that is being rented out. I file tax on that neutral income, and it is not an investment property per se, it is where we lived, and rented out when the job was offered. So having a residence (where we have not lived for 3 years but intend to come back to eventually), can that affect the status?

I thank you in advance for shedding some light on the topic. I am sure quite a few people are in the same boat.

 

[oz_mark]

There were some changes announced in the federal budget that may be relevant. See a discussion here: Tax changes cause panic among expats

 

[Therma]

There were some changes announced in the federal budget that may be relevant. See a discussion here: Tax changes cause panic among expats

Thank you very much,

I think this will put her mind at ease

 

[russianrob]

Yeah, big problem for all the OFT as well!
Means you get to pay tax at Australian rates on all your income no matter where it's earnt. If you are paying some tax in your earning locality, that's a credit and you only pay the difference. No Double Taxation!
Still a bugger if you were paying no tax at all like the rig lads, and anyone in the middle east. Not quite so bad for anyone in Singapore or China.
Lot's of the rig lads talking about becoming "Legal Non Residents", but you then will get withholding tax levied on all Australian income, and you have to watch what happens to your Super, and personal residence exemption!