Tax residency: what it is and why it matters

Your tax residency decides which country can tax your income — often your worldwide income, not just what you earn locally. It usually depends on how much time you spend in a country, which is why counting your days matters.

Why tax residency matters

• A country where you are tax-resident can usually tax your worldwide income.
• It affects filing obligations, rates, social contributions and reporting.
• You can become resident somewhere without meaning to, simply by spending enough time there.

How it is usually decided

The best-known test is the 183-day rule — spend more than 183 days in a country in the relevant period and you are often considered resident. But days are not the whole story: many countries also look at your permanent home, family and centre of vital interests.

Where day counting fits in

Because time is the most common trigger, keeping an accurate count of days per country — both across the calendar year and a rolling 12 months — is the practical first step. It tells you when you are approaching a threshold so you can plan or get advice in time.

Daybound counts your days of presence per country (calendar year and rolling 12 months). It does not determine your tax residency — that depends on each country’s rules and factors beyond days. This is general information, not tax advice; consult a qualified tax professional.