This draft interpretation statement concerns the government service tax residence rule. As part of updating IS 16/03: Tax residence, the discussion of the government service rule has been taken out of the residence statement and included in a separate draft statement. The discussion has also been expanded to touch on the articles of double tax agreements that may need to be considered if the government service rule applies.

CA ANZ commends the statement as a clear and comprehensive guidance. The detailed analysis and practical examples included in the draft are particularly helpful. Overall, CA ANZ supports publication of the statement which will be a valuable resource for taxpayers who are subject to this rule and their advisers. CA ANZ also recommends the inclusion of specific aspects to enhance the document.