There is an example[1] on their official site of an Australian living abroad in Japan and being a "resident for tax purposes" and thus being taxed, but not being a resident for other purposes.

[1]: https://www.ato.gov.au/Individuals/coming-to-australia-or-go...

Right they're still classified as a resident since they're on a temporary contract who intended on returning after their contract has expired.

If they had permanent residence in a different country they wouldn't need to.

As far as I know, in most countries, acquiring permanent residence requires living in the country for years first and then applying, so you will be on time-limited visas until then. That is the way it is in Japan, and it is 10 years to get PR, in the general case.

Anyway, I'm not an expert on Australian tax law by any means, I just wanted to note that it's not always so clear cut as "do other countries tax citizens living abroad".

This confusion is common amongst people who haven't lived in abroad. Visa status, work permits, future intentions, work contracts and citizenships are all separate things and most countries weigh more than one factor to determine tax-residency.

In this example, the operative bit is this:

> She has a one-year contract, after which she plans to tour China, [...]

This time-boxes her intentions for living abroad. It's distinct from having an unlimited work contract with a temporary visa that requires renewals, which indicates intent to stay abroad (and potentially a basis for the visa renewals).

Other countries use things like a point system (UK), definitions of "centre of life" (Russia, where I live atm) and so on. Either way, Australia doesn't do the thing that the US & Eritrea do (tax applicability solely based on citizenship).

> As far as I know, in most countries, acquiring permanent residence requires living in the country for years first and then applying, so you will be on time-limited visas until then.

I joined a US-based Company who organized my Green Card without me having ever been there.

As long as your intention is to migrate to a different country you're regarded as a non-resident in which case you wont have to pay taxes on worldwide income, unlike in the US.

The laws recently changed last month. If you spend more than 45 days in the country or tick two of the following dot points you are now considered a tax resident and need to pay income tax:

* the right to reside permanently in Australia

* Australian accommodation

* Australian family

* Australian economic interests.

https://www.lexology.com/library/detail.aspx?g=a9c5000f-bde6...

This sounds like proposed changes, I'm not seeing these rules reflected on ATO's guidance:

https://www.ato.gov.au/Individuals/coming-to-australia-or-go...

This suggests it wont come into effect until 2022:

> Since draft legislation is not yet available, the rules likely will not apply before 1 July 2022.

https://www.taxathand.com/article/17653/Australia/2021/New-t...

> If you spend more than 45 days in the country or tick two of the following dot points

The proposed secondary rules only applies after spending 45+ days in a FY, not OR. Which is important because this new criteria basically applies to most people born in Australia, so it basically reduces the 183 day test to 45.

So, just by being australian and having family there you check box #1 and #3 automatically?