RESIDENCY

Question 1

Person is resident if:

Answer 1

1. Ordinarily Resident
2. Physical Presence Test (PPT)
   • If you are ordinarily resident in year of assessment you cannot apply the PPT

Question 2

Ordinarily resident

Answer 2

• Cohen: “return from wanderings”
• Kutel: “habitually and normally resident”
• Hardy: “where your lifestyle is centred”

Question 3

PPT (physical presence test)

Answer 3

If not ordinarily resident at any time during the year then apply PPT:
• >91 in current
• >91 in all previous 5
• >915 in aggregate in previous 5
• If you satisfy the PPT you are treated as a resident from the start of the year
• PPT ceases if absent for 330 days continuously
• Cease to be resident at earlier of day that they leave or end of the YOA if they leave for >330
o If you come back before the end of the 330 days then you will be taxed at the end of the YOA you decided to leave
o If you don’t come back before the end of 330 days then it is at the point you left

Question 4

Resident company:

Answer 4

o Where it was incorporated or where effective management occurs

Question 5

Non-resident taxed on?

Answer 5

Source
• Lever Bros: “What is the originating cause?”
“Where is the originating cause located?”
• Black: “Dominant cause” (When blurry use this)

Question 6

Non-resident taxable income calculation includes

Answer 6

SA source, nomral, rebates, and withholdings tax calc

Question 7

Relief for residents earning foreign income?

Answer 7

s6quat, DTAs