This Interpretation Statement has been updated and replaced by IS 16/03. This Interpretation Statement sets out the Commissioner’s view on the application of the tax residence rules for individuals, companies and trusts. The tax residence rules determine whether a person is assessable for tax on worldwide income or only on New Zealand-sourced income. New Zealand residents are assessable on worldwide income, and non-residents are assessable only on New Zealand-sourced income. This statement updates and replaces the Public Information Bulletin on the residence rules - 'Income Tax Amendment Act (No 5) Rules 1989: New Residence Rules' (Public Information Bulletin No. 180, June 1989). It also replaces a number of other smaller items concerning tax residence. The Interpretation Statement applies from 1 April 2014. If you have reached a view on your tax residence under the approach in PIB No 180 and are unsure about how the Interpretation Statement might affect you, the operational position will help.