As proposed in the 2017 budget, the removal of the main residence CGT exemption for tax non-residents was legislated in Dec 2019 A rather draconian rule, the effect is that if you are tax non-resident on the date you sign the sales contract on your Australian property, you will not get any exemption at all… Read More Non-Resident with a home here? Quick – Sell it!
Are you living overseas and still have a HECS or HELP debt? Or are your kids overseas with such debts? New rules in 2017 require all non-residents with HELP or HECS debts to let the ATO know, via their mygov account, if they have moved overseas or intend to be away for 183 days in any 12… Read More HELP debt when Overseas
Thinking of coming back to Australia to retire? Then you need a plan in place to utilise the utopian Australian tax system, many years before your feet actually touch Australian soil. In your absence, the superannuation rules have changed such that with a bit of careful planning, once you retire over age 60, you might… Read More Retiring in Australia?
Recent changes to Australian tax legislation significantly increase the potential tax for non-residents. Non residents have always been penalised by not being able to access the tax free threshold, now they also have the joy of higher rates as well. But less talked about, in a clever twist on the ATO’s part, the CGT 50%… Read More Capital gains tax for non-residents
Those here on a 457 business sponsored visa are very lucky indeed – and lots of them don’t know it! There are several tax benefits available to this class of visa since the introduction of the “temporary resident” rules in 2006/7. The rules mean “temporary residents” are effectively only taxed on Australian sourced income for… Read More 457 Visa – Special Tax Rules
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
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?
Special tax rules apply for those who enter Australia on a temporary visa, an example of which would be the 457 visa. It is good news, to encourage you to come! Whilst you are a temporary resident for tax purposes you only need to declare and pay tax on Australian derived income. This means, for… Read More Are you in Australia on a temporary visa?