Prior to 1 July 2009, section 23AG ensured foreign employment income derived by an Australian tax resident in respect of overseas work assignments, which were longer than 91 days in duration and taxed in the overseas country, were exempt from Australian tax. Note that the exemption was only ever available for those who were Australian… Read More Article: 23AG Explained
Taxpayer Australian Resident for Tax Purposes – Bezuidenhout A taxpayer who was employed overseas, as a pilot, by a foreign employer, has nevertheless been found to have been an Australian resident during the relevant income years. He was therefore assessable in Australia on his foreign-earned income. The taxpayer worked overseas as a pilot. He was… Read More Commuters Beware
If you leave Australia to become a non-resident this is a capital gains tax event. The events are I1 and I2 which effectively calculate capital gains tax, based on the market value of all your CGT assets, on the date of departure. If you don’t make the election to be taxed on departure, then you… Read More Leaving Australia and CGT
Dear All, Since the last “reflect” life has continued to be very busy as we start to enjoy the fabulous sunny weather. Kelly is in yet another show – South of Broadway – playing this weekend & next at Berowra – free tax return for all clients that attend! As you all know I recently made… Read More October Reflect: Loads of News
Since the introduction of s775 the general answer is, yes foreign exchange gains are taxable, and conversely foreign exchange losses are deductible. There are a range of exemptions and elections that can minimise or remove some gains or losses. The rules are relevant to all taxpayers and often have consequences for expats with foreign currency… Read More Are Foreign Exchange Gains Taxable?
Well, if you are a permanent Australian resident then the answer is a resounding yes. Although there is a double tax agreement between the UK and Australia, the devil as always is in the detail. The agreement states that where rental income is derived in the “other” country, which in this case would be the… Read More Do I Have to Pay Australian Tax on my UK Rental Income?
This is a really common question, as many ex-UK, now Australian residents still need to complete UK tax returns. A case where this would be necessary is if they still hold UK rental property. The good, although rather odd news, is that yes you can claim the thresholds in both the UK and Australia. The… Read More Can I claim the UK tax free threshold if I am living in Australia?