Country of tax residency disclosures

Tax residence is a principle under a country’s domestic tax rules. It determines how countries tax business income.

Business requirements

The disclosure requirement applies to:

• all businesses – not just Australian businesses
• procurement contracts worth more than $200,000, GST inclusive.

The disclosure needs to include:

• the ultimate parent entity’s country of tax residence
• if the entity is a dual resident, each of these countries.

Government obligations

Non‑corporate Commonwealth entities must request the disclosure in all approach to market (ATM) documentation for procurements valued greater than $200,000, GST inclusive.

Corporate Commonwealth entities should also request the disclosure to drive consistency across procurement processes.

Guidance for documentation

Commonwealth procurement officials should include the following fields in their approach to market documentation:

• ‘Potential supplier entity’s country of tax residency’
• ‘Potential supplier’s ultimate parent entity’s country of tax residency’.

Fair treatment

All potential suppliers to government must be treated equitably. government doesn’t discriminate against potential suppliers due to disclosures about:

• their size
• foreign affiliation or ownership
• location
• the origin of their goods and services.

Confidentiality

Commonwealth entities treat all tender submissions – including the country of tax residency – as confidential before and after the award of a contract.

Checking residency disclosures

Procuring officials don’t need to do any extra checks to confirm the country of tax residency disclosure.

If a tenderer doesn’t disclose this information, officials should ask why. This information is a compulsory requirement.

Ensuring compliance

Commonwealth entities should collect this information as part of their governance arrangements and be able to provide it on request.

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