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Elaine&Chris · 15-06-2008, 07:02 PM

Hi Roscoe and Helen,

Ok I will try and answer both your questions:

Pension: The UK has an agreement with Oz regarding Tax and dependant on which type of pension you have the rules differ. For Government Pensions (your forces pension) you will not be taxed on it in the UK if you are taxed on it in OZ. If you ring: 0845 0700 040 (or 029 2032 5058) they will explain how to sort this out (note to all this number is for Forces pension enquireies only as are these rules). The rate at which you are taxed on your pension in Oz depends on how much you are earning in a tax year as your pension will be considered part of your earnings, they have a tax rate system similar to the UK - the more you earn the more you move up the tax brackets. You will have to pay tax on it in one country though and if you are a Permanant resident in Oz it should be there. there is no getting around this as to claim nil tax on it in the UK, the UK Tax authorities will inform the Oz tax authorities. You will not have to pay tax on your gratuity though, so it may make sense to fully commute to take a bgger tax free lump sum, but then you will get a smaller monthly pension payment that will be taxed. Only you can make this decision and you will simply have to sit down and do the math and work out how much you will lose or gain over the specified period. This is for information only and is not intended as legal, financial or tax advice.

Years: Roscoe, you can not transfer your pension years across as far as I know, but it would submitting an i-support enquirey on JPA to the JPAC team who should get you an answer. However, the type of pension you have (AFPS 75 or AFPS 05) and the amount of years that you have done (and in the case of AFPS 05, your rank/rate) will determine when you can start getting a pension and how much - again, put in a seperate i-support on JPA for a pension forcast (you are allowed one a year) and it will detail what you will get and when - or of course speak to your Admin gurus.

One piece of good news though, your years in the RAF may count towards your RAAF superannuation (pension) for incremental progression.

Hope this helps

Chris

15-06-2008, 07:02 PM	#3 (permalink)
Elaine&Chris Junior Member Join Date: Oct 2007 Posts: 28 Thanks: 0 Thanked 0 Times in 0 Posts	Hi Roscoe and Helen, Ok I will try and answer both your questions: Pension: The UK has an agreement with Oz regarding Tax and dependant on which type of pension you have the rules differ. For Government Pensions (your forces pension) you will not be taxed on it in the UK if you are taxed on it in OZ. If you ring: 0845 0700 040 (or 029 2032 5058) they will explain how to sort this out (note to all this number is for Forces pension enquireies only as are these rules). The rate at which you are taxed on your pension in Oz depends on how much you are earning in a tax year as your pension will be considered part of your earnings, they have a tax rate system similar to the UK - the more you earn the more you move up the tax brackets. You will have to pay tax on it in one country though and if you are a Permanant resident in Oz it should be there. there is no getting around this as to claim nil tax on it in the UK, the UK Tax authorities will inform the Oz tax authorities. You will not have to pay tax on your gratuity though, so it may make sense to fully commute to take a bgger tax free lump sum, but then you will get a smaller monthly pension payment that will be taxed. Only you can make this decision and you will simply have to sit down and do the math and work out how much you will lose or gain over the specified period. This is for information only and is not intended as legal, financial or tax advice. Years: Roscoe, you can not transfer your pension years across as far as I know, but it would submitting an i-support enquirey on JPA to the JPAC team who should get you an answer. However, the type of pension you have (AFPS 75 or AFPS 05) and the amount of years that you have done (and in the case of AFPS 05, your rank/rate) will determine when you can start getting a pension and how much - again, put in a seperate i-support on JPA for a pension forcast (you are allowed one a year) and it will detail what you will get and when - or of course speak to your Admin gurus. One piece of good news though, your years in the RAF may count towards your RAAF superannuation (pension) for incremental progression. Hope this helps Chris Last edited by Elaine&Chris; 15-06-2008 at 07:25 PM. Reason: initial error