Misconception: The 183 day rule
The 183-day rule states that people who spend less than 183 days in a country are often not taxable. As there are other country-specific factors, such as tax residence or period of residence, it should not be used as the sole basis. An individual audit is essential to avoid legal problems.
What is the 183 day rule?
The 183-day rule is a rule that applies in many countries and is enshrined in many double taxation agreements. This states that a person who spends less than 183 days a year in a particular country is not considered a taxpayer of that country.
Important:
However, the calculation of tax liability is based on other, country-specific factors, such as tax domicile, habitual residence or the center of life interests. In addition, it should be noted that the evaluation period represents the calendar year in some countries and a 12-month period or even others in others. Other factors must be considered when considering employees. Therefore, the 183-day rule should specifically not be used as a rule of thumb.
conclusion
The 183-day rule is an important rule for people who want to work or live abroad temporarily, but it should not be used as the sole basis for determining tax liability locally. It is advisable to learn about the specific conditions and exceptions in each country to avoid legal problems.
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