4 ms·
Not true. If your company is deemed to be a tax resident of Australia, it will be subject to Australian tax, even if it's a foreign-registered company. I can't
by nmfisher 7y ago
Not true. If your company is deemed to be a tax resident of Australia, it will be subject to Australian tax, even if it's a foreign-registered company.
I can't register a Singaporean company, conduct all business physically from Australia as sole director under the banner of that company, and not pay Australian tax on the company's income (or GST).
Well, of course you can try and do this - but it's illegal, and if the ATO finds out, you're in trouble.
It doesn't matter that you don't pay yourself a salary or declare dividends. If the company's principal operations are conducted physically from Australia, it will be deemed to be an Australian tax resident.
Now, different story if the company has a physical presence in Singapore - say, your cofounder/codirector works there with a few other employees). Then, the company's Singaporean presence might be substantial enough that the company is not deemed to be a Australian tax resident. Then you would only pay Australian tax on your personal income/dividends.
Similar story if you're the only one conducting the company's operations, but you do so physically outside Australia for more than 6 months of the year.